Legislation Update: Minimum Wages in Vietnam [+Infographic]

Vietnam has two different kinds of minimum wages, common minimum wage and regional minimum salary. As of January 1st 2018, Vietnam has revised regional minimum salary, with the revision of Vietnam’s common minimum wage set to take effect from July 1st, 2018.

Vietnam Common Minimum Wage Update


Vietnam’s regional minimum salary
that was updated earlier in the year is used for workers in all non-state enterprises. Rates or different, depending on the regions set by the government. Finalised by the National Wages Council, the regional minimum salary rates for 2018 are as follows:

  • Region I: VND 3,980,000/month;
  • Region II: VND 3,530,000/ month;
  • Region III: VND 3,090,000/ month;
  • Region IV: VND 2,760,000/ month.

As for employees in state-owned organizations and enterprises, salaries have to follow the common minimum wage. As of 1st July 2018, the common minimum wage will increase from 1,300,000 VND/ month to 1,390,000 VNC/month.

As such, it will also affect the Vietnam monthly payroll. Specifically, the mandatory insurance (Social Insurance – SI, Health Insurance – HI) and Trade Union (TU) will be affected, since the monthly cap salary base for SI, HI and TU contribution will be increased from VND 26,000,000 to VND 27,800,000/month.


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