Details of minimum wage, subjects, and locations applied from January 1, 2018

The 2018 regional minimum wage in Decree 141/2017/ND-CP stipulates the regional minimum wage for employees working under labor contracts. Decree 141 was issued to replace Decree 153/2016/ND-CP and took effect from January 25, 2018.

The latest notable regulations of Decree 141 regulating the regional minimum wage in 2018, effective from January 1, 2018, are as follows:

Regarding the regulations on regional minimum wages applied to employees working in enterprises at the following levels: Level 3,980,000 VND/month, applied to enterprises operating in areas in region I (increased by 230,000 VND compared to 2017).

The regional minimum wage in 2018 applied from January 1, 2018 increased from VND 180,000 to VND 230,000 compared to 2017.

Level 3,530,000 VND/month, applied to enterprises operating in areas in region II (increase 210,000 VND compared to 2017).

Level 3,090,000 VND/month, applied to enterprises operating in areas in region III (increase 190,000 VND compared to 2017).

Level 2,760,000 VND/month, applied to enterprises operating in areas in region IV (increase 180,000 VND compared to 2017).

Applicable objects:Employees work under labor contracts in accordance with the provisions of the Labor Code. Enterprises are established, organized, managed and operated in accordance with the Law on Enterprises. Cooperatives, cooperative unions, cooperative groups, farms, households, individuals and other organizations in Vietnam hire employees under labor contracts. Foreign agencies, organizations, international organizations and foreign individuals in Vietnam hire employees under labor contracts.

The area applying the regional minimum wage is regulated according to administrative units at district, town and provincial level.

Enterprises operating in a specific area shall apply the regional minimum wage prescribed for that area. In case an enterprise has many units or branches operating in different areas, the unit operating in a specific area shall apply the regional minimum wage prescribed for that area.

Enterprises operating in industrial parks and export processing zones located in areas with different regional minimum wages shall apply the area with the highest regional minimum wage...

According to the decree, the regional minimum wage is the lowest level that serves as a basis for businesses and employees to negotiate and pay wages. The wage paid to the simplest worker must not be lower than the regional minimum wage, and must be at least 7% higher for trained workers.

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...

List of areas applying regional minimum wage from January 1, 2018:

1. Region I, including the following areas:

- Districts and counties of Gia Lam, Dong Anh, Soc Son, Thanh Tri, Thuong Tin, Hoai Duc, Thach That, Quoc Oai, Thanh Oai, Me Linh, Chuong My and Son Tay town of Hanoi city;

- Districts and counties of Thuy Nguyen, An Duong, An Lao, Vinh Bao, Tien Lang of Hai Phong city;

- Districts and counties of Cu Chi, Hoc Mon, Binh Chanh, Nha Be in Ho Chi Minh City;

- Bien Hoa city, Long Khanh town and Nhon Trach, Long Thanh, Vinh Cuu, Trang Bom districts of Dong Nai province;

- Thu Dau Mot city, Thuan An, Di An, Ben Cat, Tan Uyen towns and Bau Bang and Bac Tan Uyen districts of Binh Duong province;

- Vung Tau city, Tan Thanh district, Ba Ria - Vung Tau province.

2. Region II, including the following areas:

- The remaining districts belong to Hanoi city;

- The remaining districts belong to Hai Phong city;

- Hai Duong city, Hai Duong province;

- Hung Yen city and My Hao, Van Lam, Van Giang, Yen My districts of Hung Yen province;

- Vinh Yen city, Phuc Yen town and Binh Xuyen and Yen Lac districts of Vinh Phuc province;

- Bac Ninh city, Tu Son town and Que Vo, Tien Du, Yen Phong, Thuan Thanh districts of Bac Ninh province;

- Ha Long, Cam Pha, Uong Bi, Mong Cai cities of Quang Ninh province;

- Thai Nguyen, Song Cong cities and Pho Yen town of Thai Nguyen province;

- Viet Tri city, Phu Tho province;

- Lao Cai city, Lao Cai province;

- Nam Dinh city and My Loc district of Nam Dinh province;

- Ninh Binh city, Ninh Binh province;

- Hue city, Thua Thien Hue province;

- Hoi An and Tam Ky cities of Quang Nam province;

- Districts of Da Nang city;

- Nha Trang and Cam Ranh cities in Khanh Hoa province;

- Da Lat and Bao Loc cities in Lam Dong province;

- Phan Thiet city, Binh Thuan province;

- Can Gio District, Ho Chi Minh City;

- Tay Ninh city and Trang Bang and Go Dau districts of Tay Ninh province;

- Dinh Quan, Xuan Loc and Thong Nhat districts of Dong Nai province;

- The remaining districts belong to Binh Duong province;

- Dong Xoai town and Chon Thanh district of Binh Phuoc province;

- Ba Ria city, Ba Ria - Vung Tau province;

- Tan An city and Duc Hoa, Ben Luc, Thu Thua, Can Duoc, Can Giuoc districts of Long An province;

- My Tho city, Tien Giang province;

- Districts of Can Tho city;

- Rach Gia city, Ha Tien town and Phu Quoc district of Kien Giang province;

- Long Xuyen and Chau Doc cities of An Giang province;

- Tra Vinh city, Tra Vinh province;

- Ca Mau city belongs to Ca Mau province.

3. Region III, including the following areas:

- The remaining provincial cities (except for the provincial cities mentioned in region I and region II);

- Chi Linh town and Cam Giang, Nam Sach, Kim Thanh, Kinh Mon, Gia Loc, Binh Giang, Tu Ky districts of Hai Duong province;

- Vinh Tuong, Tam Dao, Tam Duong, Lap Thach, Song Lo districts of Vinh Phuc province;

- Phu Tho town and Phu Ninh, Lam Thao, Thanh Ba, Tam Nong districts of Phu Tho province;

- Gia Binh and Luong Tai districts of Bac Ninh province;

- Viet Yen, Yen Dung, Hiep Hoa, Tan Yen, Lang Giang districts of Bac Giang province;

- Quang Yen and Dong Trieu towns and Hoanh Bo district of Quang Ninh province;

- Bao Thang and Sa Pa districts of Lao Cai province;

- The remaining districts belong to Hung Yen province;

- Phu Binh, Phu Luong, Dong Hy and Dai Tu districts of Thai Nguyen province;

- Luong Son district, Hoa Binh province;

- The remaining districts belong to Nam Dinh province;

- Duy Tien and Kim Bang districts of Ha Nam province;

- Gia Vien, Yen Khanh and Hoa Lu districts of Ninh Binh province;

- Bim Son town and Tinh Gia district of Thanh Hoa province;

- Ky Anh town, Ha Tinh province;

- Huong Thuy and Huong Tra towns and Phu Loc, Phong Dien, Quang Dien and Phu Vang districts of Thua Thien Hue province;

- Dien Ban town and Dai Loc, Duy Xuyen, Nui Thanh, Que Son, Thang Binh, Phu Ninh districts of Quang Nam province;

- Binh Son and Son Tinh districts of Quang Ngai province;

- Song Cau town and Dong Hoa district of Phu Yen province;

- Ninh Hai and Thuan Bac districts of Ninh Thuan province;

- Ninh Hoa town and Cam Lam, Dien Khanh and Van Ninh districts of Khanh Hoa province;

- Dak Ha district, Kon Tum province;

- Duc Trong and Di Linh districts of Lam Dong province;

- La Gi town and Ham Thuan Bac and Ham Thuan Nam districts of Binh Thuan province;

- Phuoc Long and Binh Long towns and Dong Phu, Hon Quan, Loc Ninh and Phu Rieng districts of Binh Phuoc province;

- The remaining districts belong to Tay Ninh province;

- The remaining districts belong to Dong Nai province;

- Long Dien, Dat Do, Xuyen Moc, Chau Duc, Con Dao districts of Ba Ria - Vung Tau province;

- Kien Tuong town and Duc Hue, Chau Thanh, Tan Tru, Thanh Hoa districts of Long An province;

- Go Cong and Cai Lay towns and Chau Thanh and Cho Gao districts of Tien Giang province;

- Chau Thanh district, Ben Tre province;

- Binh Minh town and Long Ho district of Vinh Long province;

- Districts of Can Tho city;

- Kien Luong, Kien Hai and Chau Thanh districts of Kien Giang province;

- Tan Chau town and Chau Phu, Chau Thanh, Thoai Son districts of An Giang province;

- Nga Bay town and Chau Thanh and Chau Thanh A districts of Hau Giang province;

- Duyen Hai town, Tra Vinh province;

- Gia Rai town, Bac Lieu province;

- Vinh Chau and Nga Nam towns of Soc Trang province;

- The districts of Nam Can, Cai Nuoc, U Minh, and Tran Van Thoi belong to Ca Mau province.

4. Region IV, including the remaining areas.

According to Infonet