Want to be in the loop?
subscribe to
our notification
Business News
VIETNAM'S MINIMUM WAGES TO INCREASE BY 6.5 PER CENT IN 2018
The minimum wage will be officially increased from January 1, 2018 by an extra VND180,000-230,000 ($8.07-10.13), depending on the region. The government has issued Decree No.141/2017/ND-CP, amending regional minimum wages for workers employed under a labour contract. Accordingly, the increase stands at an average of 6.5 per cent (See chart below).
Region Minimum wage in 2017 Minimum wage from early 2018
(million VND) (million VND)
Region I 3.75 3.98
Region II 3.32 3.53
Region III 2.90 3.05
Region IV 2.58 2.76
Before being submitted to the government for approval, the proposal to increase the minimum wage by an average 6.5 per cent was subject to heated debate. However, after three meetings, the local authorities and business associations reached a compromise over the proposal via a vote.
Notably, at the first meeting, various options for the raise were recommended, including increases of 5, 6, and 6.8 per cent. Specifically, the National Salary Council proposed the highest increase of 13.3 per cent, while the Vietnam Chamber of Commerce and Industry (VCCI) proposed an increase of less than 5 per cent or even keeping wages unchanged.
At the second meeting, after numerous discussions, there was a slight change in proposals. Notably, the National Salary Council recommended the figure of 8 per cent, while VCCI’s figure was 5 per cent. However, relevant authorities still failed to reach a compromise.
At the third meeting, Deputy Minister of Labour, Invalids and Social Affairs cum chairman of the National Salary Council Doan Mau Diep said that after discussions, the Vietnam General Confederation of Labour (VGCL) and VCCI put two figures (7 and 6.5 per cent) to vote. As the result, eight out of 14 members voted in favour of the 6.5 per cent plan, and the remaining members selected the 7 per cent plan.
Source: VIR
Related News
VIETNAM’S GDP TO GROW 5.5% THIS YEAR – WB
This forecast is based on the assumption of a moderate recovery in manufacturing exports in 2024, fueled by rebound growth of 8.5% year-on-year in the fourth quarter of 2023 and 17.2% year-on-year in the first quarter of 2024, reflecting strengthening global demand, said Dorsati Madani, senior country economist at the WB in Vietnam.
FARE REFUND FOR VISA REJECTION
Cathay Pacific will offer full refunds for cases of visa rejection to provide you with the confidence to explore the world with ease. If you are planning to fly to a destination that requires an entry visa, you can now book with greater peace of mind.
FOUR COMMODITIES POST Q1 EXPORT VALUE OF OVER 5 BILLION USD
The total export turnover of agricultural, forestry, and fisheries products in the first three months of 2024 is estimated to reach 13.53 billion USD, an increase of 21.8% compared to the same period of 2023.
MOIT PROPOSES SCHEME TO BOOST RENEWABLE ENERGY PROCUREMENT
The proposed Direct Power Purchase Agreement (DDPA) mechanism, outlined in the draft decree, targets organisations and individuals consuming electricity from the 22kV power grid or higher, with a monthly consumption averaging 500,000kWh. However, residential households are excluded from direct procurement.
REAL ESTATE BONDS PLACE PRESSURE ON ISSUING FIRMS
The ministry’s recent report underscores concerns within Vietnam’s corporate bond market for 2023 and 2024. It emphasizes the critical need to address hindrances to the real estate sector in line with the objectives provided in Government Resolution No. 33/NQ-CP, which aims to stabilize the industry.
DA NANG CUSTOMS FOCUSES ON DEVELOPING CUSTOMS-BUSINESS PARTNERSHIPS
Da Nang Customs Department issued an action plan for developing customs-business partnership in 2024. One of the new events this year is the workshop on “Settlement reports for enterprises engaged in outsourcing, export production and export processing” held in Da Nang Customs Department on April 16, 2024.