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Implementation of 2016 minimum salary under review

Released at: 15:40, 11/03/2016

Implementation of 2016 minimum salary under review

Inspection of salary increases this year to form part of considerations over further increases in 2017.

by Luong Nhi

The Ministry of Labor, Invalids and Social Affairs (MoLISA) has asked cities and provinces to evaluate the implementation of the minimum salary this year.

Local authorities must inspect the salary adjustment at enterprises to collect data and identify the positives and negatives of the increase.

If any further adjustment is recommended, MoLISA, the Departments of Labor, Invalids and Social Affairs in cities and provinces, local labor unions, and local chambers of commerce and industry will work with each other to resolve problems with management boards at industrial zones, manufacturing areas, and vocational associations.

To evaluate the current minimum salary and social insurance, MoLISA has held many meetings with parent corporations and domestic and foreign enterprises in textiles and electronic assembly areas in Thai Nguyen, Ninh Binh, and Hung Yen provinces.

Information from the meetings are additional data for further dialogue on minimum salaries for the third quarter of 2016 and for 2017. MoLISA will represent the State, the Vietnam General Confederation of Labor (VGCL) will represent employees, and the Vietnam Chamber of Commerce and Industry (VCCI) will represent employers in further discussions.

VCCI is preparing to conduct a survey in April on the minimum salary to prepare for dialogue on the minimum salary in 2017. The VGCL has already requested local labor unions to report on the minimum salary.

The National Salary Council also expects to conduct a minimum salary survey by the end of March or in the beginning of April to obtain information for potential adjustments to the minimum salary in 2017. The survey will assess the minimum living standards of workers and the impact of salary policies.

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