Minimum wage plan after merging communes and provinces

The Ministry of Home Affairs has just sent the Ministry of Justice for appraisal of the draft Decree on decentralization and delegation of authority to perform state management tasks in the field of home affairs before submitting it to the Government for promulgation.

In the draft decree, an Appendix has been issued listing communes (maintaining the status quo or newly formed after July 1, 2025) to apply the minimum wage according to the 4 regions specified in Decree No. 74/2024/ND-CP. Accordingly, the list of regions will be adjusted according to the list of new commune-level and provincial-level administrative units after the arrangement.

Currently, the Government regulates the minimum wage for employees working under labor contracts according to Decree No. 74/2024/ND-CP, effective from July 1, 2024 to present.

Accordingly, the minimum monthly wage in region I is 4,960,000 VND/month; region II is 4,410,000 VND/month; region III is 3,860,000 VND/month, region IV is 3,450,000 VND/month.

The minimum hourly wage in region I is 23,800 VND/hour, region II is 21,200 VND/hour, region III is 18,600 VND/hour, and region IV is 16,600 VND/hour.

The list of commune-level areas applying the regional minimum wage will clearly identify which new commune-level administrative units are classified into which regions to serve as the basis for determining the applicable minimum wage.

The Ministry of Home Affairs also proposed that the Government issue a Decree in June 2025, effective from July 1, 2025, to comply with the direction of the Government and the Prime Minister and implement the two-level local government model.

Below is a list of commune-level localities applying the regional minimum wage established by the Ministry of Home Affairs:

Minimum wage plan after merging communes and provinces