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Regional minimum wage to surge 6.5% in 2018

VGP – The regional minimum wage will increase by 6.5% in 2018, representing the lowest rise, according to the National Wage Council.

August 07, 2017 2:41 PM GMT+7

Illustration photo

The Council convened the third meeting on August 7 in Ha Noi to make the final decision on the proposal on salary hike in 2018 before submitting it to the PM.

Accordingly, the minimum wage will be applied for four different regions in Việt Nam as follows Region I: VND 3.98 million (US$ 189); Region II: VND 3.53 million (US$ 168); Region III: VND 3.09 million (US$ 147) and Region IV: VND 2.76 million (US$131).

Vice President of the Viet Nam General Confederation of Labor Mai Duc Chinh assessed that the minimum wage hike has yet satisfied employers. However, the rise showed that laborers shared difficulties with businesses. However, the 6.5% minimum wage rise will only meet minimum living standards until late 2020.  

Vice President of the Viet Nam Chamber of Commerce and Industry Hoang Quang Phong was also unsatisfied with the rise. Mr. Phong reported that in the first seven months, over 73,000 enterprises were founded. About 50,000 others were dissolved or temporally suspended. He suggested laborers not rely on minimum wage increase but do their best to improve skills; promote labor disciplines, and raise labor productivity.

The minimum wage rise was supposed to meet 92-96% of minimum living standards./.

By Kim Loan