Scope of application

1. Employees who work under labor contracts as prescribed in the Labor Code.

2. Employers as prescribed by the Labor Code, including: Enterprises duly established, organized and operating under the Law on Enterprises; agencies, organizations, cooperatives, households, individuals that hire employees on the basis of labor contracts.

3. Other organizations and individuals subject to implementation of this Decree.

Wage increases

Under the decree, the minimum monthly wages shall be increased by VND180,000, VND210,000, VND240,000 and VND260,000 to 4,680,000 (US$ 203), VND 4,160,000, VND 4,160,000 and VND 3,250,000 in regions 1, 2, 3, and 4.

Accordingly, the new minimum wages shall be VND 4,680,000/month in Region 1; VND4,160,000/month in Region 2; VND3,640,000/month in Region 3; VND3,250,000/month in Region 4.

Hourly pay

The new decree also stipulates new minimum hourly pay of VND 22,500 per hour in Region 1, VND 20,000 per hour in Region 2, VND 17,500 per hour in Region 3, and VND 15,600 in Region 4./.