Government has issued the Decree No. 141/2017/ND-CP on the new region-based minimum wages for those who work under labor contracts. According to Decree No. 141/2017/ND-CP, the new region-based minimum wages will increased from 180,000 to 230,000 dong each month, in comparison with 2018 as follows:
|Region||The new region-based minimum wages applied from 01 Jan 2018
(According to Decree No. 141/2017/ND- CP dated 07th December 2017)
|The new region-based minimum wages applied from 01 Jan 2019
(According to Decree No. 157/2018/ND- CP dated 16th November 2018)
The subjects of application of the region-based minimum wages include the enterprises that are established; organized and managed; and operated under the Law on Enterprises (including Vietnam-based foreign-invested enterprises); the cooperatives, cooperative unions, cooperative groups, farms, households, individuals and the other Vietnam organizations employing employees by labor contract. Beside, this Decree is also applied with the foreign agencies, foreign organizations, international organizations and foreigners in Vietnam employing employees by labor contract.
The new region-based minimum wages shall be used as the basis for calculating wage scales, wage tables and it is also the payable lowest wage to employees who have not yet been trained.
For employees in vocational training, they must be paid at least seven (7) per cent higher than the region-based minimum wages regulated by Government. The employees who have undergone vocational training are specified at Article 5, Decree No. 157/2018/ND-CP.
Decree No. 157/2018/ND-CP replaces Decree No. 141/2017/ND-CP on the region-based minimum wages in 2018. This Decree will take effect from 01st January, 2019.