The Vietnamese Government issued the decree n° 122/2015/ND-CP dated 14/11/2015 on monthly minimum salary to replace decree n°103/2014/ND-CP dated 11/11/2014.

Sarting January the 1st, 2016, the minimum salary level is due to increase an average of 12.4%

Application principle: An enterprise must apply the minimum area wage rate applicable to the geographical area in which it operates. If an enterprise has a unit or branch operating in different areas with different rates, then the unit or branch must apply the minimum area wage rate applicable to the geographical area in which such unit or branch is located.

Vocational training: The lowest wage rate payable to employees who have passed vocational training courses must be at least 7% higher than the minimum area wage rate.

The following minimum salaries will apply to entreprises:

 Area

Minimum Salary (VND/month)

Decree 103/2014

Decree 122/2015

Area I

3.100.000

3.500.000

Area II 2.750.000 3.100.000
Area III 2.400.000 2.700.000
Area IV 2.150.000 2.400.000

 

If the enterprise operates in adjacent localities in which different minimum salary level is applied will be applied the higher region-based minimum salary level.

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