Government urges submission of regional minimum wage plan for 2024

This is the opinion of Deputy Prime Minister Le Minh Khai in a recent dispatch from the Government Office to the Minister of Labor, Invalids and Social Affairs and the National Wage Council regarding the time to report on the minimum wage plan for 2024.

Chính phủ đốc thúc trình phương án lương tối thiểu vùng 2024 - Ảnh 1. — The Government requested the Ministry of Labor, Invalids and Social Affairs to soon have a report proposing a regional minimum wage plan for 2024.

The document stated that, considering the report of the National Wage Council on the consideration of the minimum wage plan applicable for 2024, Deputy Prime Minister Le Minh Khai requested the National Wage Council to base on developments in the socio-economic situation, production and business, labor market, other related factors and legal provisions to proactively consider recommending to the Government a minimum wage plan for employees according to assigned functions, tasks, and authority and in accordance with current regulations.

The Ministry of Labor, Invalids and Social Affairs is assigned to study the report of the National Wage Council in the process of performing the assigned state management functions and tasks according to regulations. In case of exceeding authority, the report must be submitted to the competent authority before September 30.

Previously, on September 9, at the regular Government meeting in August, the Prime Minister requested the Ministry of Labor, Invalids and Social Affairs to focus on implementing social security policies; propose increasing the minimum wage for workers and report to competent authorities.

In August, the National Wage Council held its first meeting to discuss plans to increase regional minimum wages in 2024.

Representing the workers, the Vietnam General Confederation of Labor proposed increasing the regional minimum wage in 2024 by 5-6%.

However, many council members suggested postponing the time to consider salary adjustments so that businesses can maintain production and ensure jobs for workers.

A survey by the Ministry of Labor, Invalids and Social Affairs in 63 provinces and cities in the first four months of the year showed that more than 500,000 people had their jobs affected, of which nearly 300,000 people quit their jobs.

The number of workers who quit or lose their jobs is concentrated in provinces with large industrial parks and economic zones such as Binh Duong, Dong Nai, Ho Chi Minh City, Bac Giang, and Bac Ninh.

Therefore, the members of the National Wage Council agreed that more time is needed to evaluate the factors for increasing the minimum wage.

The next meeting is expected to be postponed to the end of November to finalize the plan and timing of the minimum wage increase in 2024.

According to Decree 38 of the Government, from July 1, 2022, the monthly minimum wage will increase by 6%, equivalent to 180,000 - 260,000 VND compared to before, depending on the salary region. Currently, the monthly minimum wage is applied in 4 regions as follows: region 1 is 4.68 million VND/month; region 2 is 4.16 million VND/month; region 3 is 3.64 million VND/month and region 4 is 3.25 million VND/month.

Meanwhile, the minimum hourly wage in region 1 is 22,500 VND/hour, region 2 is 20,000 VND/hour, region 3 is 17,500 VND/hour, region 4 is 15,600 VND/hour.

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