Hanoi Industrial Park Workers petition the government to support a maximum 15% reduction in electricity prices due to increased living costs and decreased income.
The proposal was made by Mr. Nguyen Quang Minh, Chairman of the Trade Union of Rhythm Kyoshin Vietnam Company (Noi Bai Industrial Park), during a dialogue between workers and Chairman of the Hanoi People's Committee Tran Sy Thanh on the afternoon of May 18, two weeks after the electricity price increased by 3%.
Mr. Minh cited the situation of cutting working hours causing workers to have a decrease in income, many people only receive 70% of their salary. Meanwhile, the national electricity price has just increased and Hanoi is planning to adjust the price of clean water. The minimum wage has increased by several hundred thousand dong while prices are climbing, workers can only tighten their belts.
Mr. Nguyen Quang Minh, a union official working at Noi Bai Industrial Park (Soc Son, Hanoi) during the dialogue on the afternoon of May 18. Photo: Vo Hai
Mr. Minh used his family as an example, 5 people do not have to rent a room, use electrical appliances and spend one million VND per month on electricity. In the summer, using air conditioning is very economical, he still has to pay about 300,000 VND more, estimated to spend 1.5 million VND per month when electricity prices increase and during peak hot weather.
With a salary of 8 million VND per month while his wife has no stable job, electricity costs about 15% of his income. Annually, this costs 12-15 million VND. Not to mention the price of clean water is about to increase. When electricity and water prices increase, landlords often use that as an excuse to increase room rates for workers renting rooms.
"Monthly electricity and water costs are a real burden for workers, especially those with small children. Not to mention, workers who rent a room also have to pay for housing," he said.
In response, Mr. Tran Sy Thanh talked about electricity prices and some other issues beyond the city's authority, the city took note and reported to the competent authority.
After four years of restraint, the average retail electricity price was adjusted up by 3%, from VND1,864.44 to VND1,920.37 per kWh (excluding VAT). From July, Hanoi may increase the price of clean water, with the highest expected level for domestic water in 2024 being VND27,000/m3 if using more than 30 m3/household/month.
Hanoi currently has 10 industrial parks, export processing zones and Hoa Lac high-tech zone, 661 operating enterprises attracting 165,000 workers. 80% of these are from other provinces, renting accommodation.
In the first quarter of 2023, the average income of workers reached 7 million VND per month. The Hanoi Labor Federation assessed that the above level does not meet the minimum living needs due to inflation. Workers currently have to bear many costs for electricity, water, high rent, childcare, and rising consumer prices.
Hong Chieu - Vo Hai
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