Legal News

[Labor] Draft Decree on Minimum Wage Increase from July 1, 2024

2024/03/28

Following previous news, on March 25, 2024, the government published a draft decree on regional minimum wages for enterprises. If this draft is approved, the regional minimum wages after the 6% increase will be as follows.

Area	Minimum monthly wage (Unit: VND/month)	Minimum wage per hour (Unit: VND/hour)
area 1	4,960,000	23,800
area 2	4,410,000	21,200
area 3	3,860,000	18,600
area 4	3,450,000	16,600

 

※For more information on each area, please refer to the following draft decree (in Vietnamese).
https://thuvienphapluat.vn/van-ban/Lao-dong-Tien-luong/Nghi-dinh-muc-luong-toi-thieu-lao-dong-lam-viec-theo-hop-dong-603278.aspx

In accordance with the above, enterprises are required to review and adjust the following labor matters

<Example
・Review and adjustment of salary tables
・Adjustment of salaries in the labor contract (agreement with workers to review salaries in accordance with the revision of the regional minimum wage)
∙ Update of the maximum monthly salary for unemployment insurance, which is 20 times the regional minimum wage, etc.

The decree is expected to become effective July 1, 2024. As soon as the official decree is issued by the government, we will update the information in Laws and Regulations News.

Reference Laws and Regulations:
Draft Decree on Regional Minimum Wages for Enterprises
https://thuvienphapluat.vn/van-ban/Lao-dong-Tien-luong/Nghi-dinh-muc-luong-toi-thieu-lao-dong-lam-viec-theo-hop-dong-603278.aspx