The minimum wage has increased by an average of nearly 6% per year.

According to the work plan for March, the Ministry of Interior stated that it will focus on preparing content regarding the adjustment of the minimum wage, especially concerning the zoning of minimum wages to suit changes in geographical areas when implementing administrative unit restructuring.

Every year, the National Wage Council convenes to advise the Government on adjusting the minimum wage to ensure a minimum standard of living for workers.

Most recently, the National Wage Council advised the Government to issue Decree No. 74/2024. Accordingly, from July 1st, the regional minimum wage increased by an average of 6% compared to the 2023 level. According to this Decree, the regional minimum wage levels currently applied from July 1st, 2024 to date are: Region 1 at 4.96 million VND/month; Region 2 at 4.41 million VND/month; Region 3 at 3.86 million VND/month; and Region 4 at 3.45 million VND/month.

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Illustration photo: Le Anh Dung.

The regional minimum wage directly affects the income of workers employed under labor contracts. Since 2009, this wage has been adjusted 16 times.

According to statistics from the labor management agency, over nearly 10 years (2016-2024), the minimum wage has been periodically adjusted at an average increase rate of 5.96% per year. The average wage of salaried workers has increased by an average of 6.57% per year.

Negotiate for a higher salary.

To obtain data for adjusting the regional minimum wage in 2025, the Ministry of Labour, Invalids and Social Affairs (now the Ministry of Interior) issued a Decision on conducting a 2024 survey on labor and wages in enterprises.

The survey was conducted at 3,400 businesses with 6,800 employees in 18 provinces and cities representing 8 economic regions of the country with a large number of businesses and a developed labor market. Of these, Hanoi and Ho Chi Minh City had the highest number of businesses surveyed.

The collected data will also be used for management purposes, publishing average wage levels in the labor market for businesses and employees to refer to as a basis for wage negotiations.

Mr. Le Dinh Quang, Deputy Head of the Legal Policy and Labor Relations Department (Vietnam General Confederation of Labor), said that increasing wages not only improves the lives of workers but also creates motivation for work productivity, thereby contributing to economic development.

Local trade unions need to support workers in negotiating higher wages than the minimum wage through collective bargaining agreements.

To provide a basis for proposing this year's minimum wage, the trade union conducted a preliminary survey on the living conditions, employment, wages, and income of workers.

However, further in-depth surveys are needed in the future to propose adjustments to the regional minimum wage. Compared to actual needs and current living standards, workers have high expectations that the regional minimum wage in 2025 will be adjusted upwards to ensure a decent standard of living.