Official announcement of regional minimum wage applicable from January 1, 2019

VnEconomy• December 14, 2018 06:18

Prime Minister Nguyen Xuan Phuc has just signed and issued Decree No. 157/2018/ND-CP of the Government stipulating regional minimum wages for employees working under labor contracts.

The regional minimum wage applied from January 1, 2019 increased from 160,000 - 200,000 VND/month.

Accordingly, from January 1, 2019, the regional minimum wage will be applied from VND 2,920,000 to VND 4,180,000/month for employees working under labor contracts;specifically as follows:

- For employees working in enterprises operating in region I: VND 4,180,000/month (an increase of VND 200,000 compared to current regulations in Decree 141/2017/ND-CP).

- For employees working in enterprises operating in region II: 3,710,000 VND/month (an increase of 180,000 VND compared to Decree 141).

- For employees working in enterprises operating in region III: 3,250,000 VND/month (an increase of 160,000 VND compared to Decree 141).

- For employees working in enterprises operating in region IV: 2,920,000 VND/month (an increase of 160,000 VND compared to Decree 141).

The Decree also clearly states that the areas applying the regional minimum wage are regulated according to administrative units at the district, town and provincial city levels.

Accordingly, the enterprise operating in a locality shall apply the regional minimum wage prescribed for that locality. If the enterprise has branches operating in localities with different regional minimum wages, the branch in which locality shall apply the regional minimum wage for that locality.

And with dEnterprises operating in industrial parks and export processing zones located in areas with different minimum wages will apply the highest regional minimum wage.

Khi thực hiện mức lương tối thiểu vùng quy định tại Nghị định này, doanh nghiệp không được xóa bỏ hoặc cắt giảm các chế độ tiền lương khi người lao động làm thêm giờ, làm việc vào ban đêm, làm việc trong điều kiện lao động nặng nhọc, độc hại,

When implementing the regional minimum wage, enterprises are not allowed to eliminate or reduce wage regimes when employees work overtime, work at night, work in arduous or toxic working conditions...

The regional minimum wage is the lowest level that serves as a basis for businesses and employees to negotiate and pay wages.

In which, the salary paid to employees working under normal working conditions, ensuring enough normal working hours in a month and completing the agreed labor norms or work must ensure: Not lower than the regional minimum wage for employees doing the simplest work; at least 7% higher than the regional minimum wage for employees doing work requiring employees to have undergone vocational training according to regulations.

When implementing the regional minimum wage prescribed in this Decree, enterprises are not allowed to eliminate or reduce wage regimes when employees work overtime, work at night, work in arduous and hazardous working conditions, in-kind compensation regimes for arduous and hazardous job titles and other regimes as prescribed by labor laws.