Expected regional minimum wage from 2026 in 130 wards and communes of Nghe An

The Ministry of Home Affairs is seeking comments on the Draft Decree regulating the minimum wage for employees working under labor contracts to complete and submit to the Government for promulgation, expected to take effect from January 1, 2026.

It is noteworthy that the localities applying the minimum wage have been reviewed and adjusted in a step linked to the new commune-level administrative units after the rearrangement of administrative units nationwide from July 1, 2025 according to the 2-level local government.

According to the draft, the regional minimum wage is divided by month and by hour, corresponding to 4 regions. Specifically, region I is 5.31 million VND/month (25.5 thousand VND/hour), region II is 4.73 million VND/month (22.7 thousand VND/hour), region III is 4.14 million VND/month (20 thousand VND/hour) and region IV is 3.7 million VND/month (17.8 thousand VND/hour).

The minimum monthly wage is the lowest wage used as a basis for negotiation and payment of wages to employees applying the monthly salary payment method, ensuring that the wage according to the job or position of the employee who works enough normal working hours in the month and completes the agreed labor or work norms must not be lower than the minimum monthly wage.

The minimum hourly wage is the lowest wage used as a basis for negotiation and payment to employees applying the hourly wage payment method, ensuring that the wage according to the job or position of the employee working in 1 hour and completing the agreed labor norm or work must not be lower than the minimum hourly wage.

According to the Ministry of Home Affairs' Report, the above minimum wage will increase from VND250,000 to VND350,000 (equivalent to an average rate of 7.2%) compared to the current minimum wage. The above minimum wage adjustment is about 0.6% higher than the minimum living standard of workers until the end of 2026 to improve the lives of workers.

Nghe An currently has 130 wards and communes; in which, according to the draft Decree issued, the minimum wage is applied from region II to region IV.

Specifically: Region II, including wards: Truong Vinh, Thanh Vinh, Vinh Hung, Vinh Phu, Vinh Loc, Cua Lo and communes: Hung Nguyen, Yen Trung, Hung Nguyen Nam, Lam Thanh, Nghi Loc, Phuc Loc, Dong Loc, Trung Loc, Than Linh, Hai Loc, Van Kieu; corresponding to the minimum wage of 4.73 million VND/month (22.7 thousand VND/hour).

Region III, including wards: Hoang Mai, Tan Mai, Quynh Mai, Thai Hoa, Tay Hieu and communes: Dien Chau, Duc Chau, Quang Chau, Hai Chau, Tan Chau, An Chau, Minh Chau, Hung Chau, Do Luong, Bach Ngoc, Van Hien, Bach Ha, Thuan Trung, Luong Son, Van An, Nam Dan, Dai Hue, Thien Nhan, Kim Lien, Nghia Dan, Nghia Tho, Nghia Lam, Nghia Mai, Nghia Hung, Nghia Khanh, Nghia Loc, Quynh Luu, Quynh Van, Quynh Anh, Quynh Tam, Quynh Phu, Quynh Son, Quynh Thang, Dong Hieu, Yen Thanh, Quan Thanh, Hop Minh, Van Tu, Van Du, Quang Dong, Giai Lac, Binh Minh, Dong Thanh; corresponding to the minimum wage of 4.14 million VND/month (20 thousand VND/hour)

Region IV, including the remaining communes and wards; corresponding to the minimum wage of 3.7 million VND/month (17.8 thousand VND/hour).

The regional minimum wage is applied to employees working under labor contracts, according to the 2019 Labor Code. This is the lowest level that enterprises are allowed to pay to employees doing simple work under normal conditions, to ensure the minimum living standard for them and their families; it does not apply to officials, civil servants, public employees, and employees working at state agencies, administrative units, and public service units.