Local workers enjoy pay rise next year

The new schemes will see each local worker’s pay hikes ranging from VND100,000 ($5.1) to VND370,000 per month ($18.9) compared to the existing levels. Accordingly, as of July 1, 2011, the monthly minimum wage applicable for local workers employed by FIEs located in the first zone will stand at VND1.550 million ($79.4), while that for those in zones 2, 3 and 4 will be VND1.350 million ($69.2), VND1.170 million ($60) and VND1.1 million ($56.4), respectively. Currently, FIEs’ workers’ monthly minimum salaries are VND1.34 million ($68.7), VND1.19 million ($61), VND1.04 ($53.3) and VND1.0 million ($51.2), depending on their enterprises’ locations. The first zone covers Hanoi and Ho Chi Minh city’s inner districts and the second zones with suburban districts of Hanoi, Ho Chi Minh City and Hai Phong, Ha Long of Quang Ninh, Danang, Bien Hoa city of Dong Nai, Vung Tau city of Ba Ria-Vung, Thu Dau Mot town, Thuan An, Di An, Ben Cat and Tan Uyen districts of Binh Duong. The third zone include Bac Ninh, Bac Giang, Hung Yen, Hai Duong, Mong Cai, Uong Bi and Cam Pha of Quang Ninh, Dalat and Bao Loc of Lam Dong, Nha Trang and Cam Ranh of Khanh Hoa. The fourth zone covers the remaining provinces. For domestic state-run and private enterprises, as of January 1, 2011, rates of local workers’ monthly minimum salaries will reach VND1.350 million ($69.2), VND1.2 million ($61.5), VND1.05 million ($53.8) and VND830,000($43.5), also depending on the location of the employers. At present, state-run and domestic private workers enjoy minimum salaries of VND980,000 ($50.2), VND880,000 ($45.1), VND810,000 ($41.5) and VND730,000 ($37.4) per month for four different zones. The two new decrees also noted that the actual wage amount of skilled workers had to be at least seven per cent higher than the set minimum levels.