Dong Nai (VNA) – Nearly 400 FDI companies in the southern province of Dong Nai have increased their minimum monthly wages by about 500,000 VND (22.3 USD) for each worker on average.
The rise, which was reported to the provincial Department of Labour, Invalids and Social Affairs, complies with the Government’s Decree 122/2015/ND-CP, which was issued in November 2015 and stipulates that regional minimum wages would be raised from January 1, 2016.
Deputy Director of the department Pham Van Cong said Dong Nai is housing 1,600 foreign invested projects, and most of the companies that have made wage reports are of large scale and use a great number of workers.
Many other FDI firms have also hiked salaries in line with Decree 122 but have not reported to the department, he added.
Additionally, a majority of FDI businesses in Dong Nai already paid their employees more than the State regulated levels by 300,000 – 500,000 VND per capita a month in 2015.
The continued wage rise illustrates their compliance with Vietnamese laws and care for workers’ benefits, Cong said.
Regionally-based monthly minimum wages vary in four different regions based on four separate benchmarks determined by living standards in each area.
Under the Government decree, the minimum monthly wage for Region 1, which covers urban Hanoi and HCM City, will be 3.5 million VND (155.6 USD), up 400,000 VND (17.8 USD) compared to the 2015 level.
The minimum monthly wage for Region 2, which covers rural Hanoi and HCM City along with urban Can Tho, Da Nang and Hai Phong cities, will be 3.1 million VND (136.4 USD), up 350,000 VND (15.6 USD).
The level for Region 3, which includes provincial cities and the districts of Bac Ninh, Bac Giang, Hai Duong, and Vinh Phuc provinces, will be 2.7 million VND (118.8 USD), up 300,000 VND (13.3 USD).
For Region 4, which encompasses the remaining localities, the level will be 2.4 million VND (105.6 USD), up 250,000 VND (11.1 USD).
The new wages are applied to workers in businesses, unions of cooperatives, cooperatives, cooperative groups, farms, households, individuals and organisations that employ workers under labour contracts.
They serve as the basis for employers and workers to negotiate and pay monthly wages.-VNA