Increasing the common minimum wage from 01 July, 2019
The current common minimum wage is 1,390,000 applied from 01st July, 2018 under the Resolution on state budget estimate in 2018 and the Decree No. 72/2018/NĐ-CP providing for the basic wage level for cadres, civil servants, public employees and armed forces. Recently, the National Assembly has issued the Resolution No. 70/2018/QH14 on state budget estimate in 2019 where National Assembly decided to increase the common minimum wage from 1,390,000 VND/month to 1,490,000VND/month which is going to take effect from 01st July, 2019 (increasing 100,000 VND/month from the current common minimum wage).
Relating to adjustment of the common minimum wage, the maximum salary and contribution rate to Social Insurance and Health Insurance will be risen as follows:
|Salary Cap for SHI contribution||Social Insurance||Health Insurance||Occupational accidents and diseases insurance|
|27,800,000 (applied from 01st July 2018 to 30th June 2019)||2,224,000||4,726,000||417,000||834,000||139,000|
|29,800,000 (applied from 01st July 2019)||2,384,000||5,066,000||447,000||894,000||149,000|
|Total of different amount||500,000||90,000||10,000|
The new common minimum wage will be applicable from 1st July, 2019.