Kocham Binh Duong
The minimum wage in 2017 has increased to 7.3%.
The increase in minimum wages over previous year is lower but since 2018, in addition to basic salary, overtime allowance, other supplements are also included in 100% social insurance. Hence, for those businesses, especially those with high labor productivity are feeling the burden of raising this salary.
On the other hand, in the decentralization of wages, there is a difference of 5% for businesses applying ranks by year among businesses operating for more than 15 years.
Therefore, with efforts to reduce burden on businesses, we are looking forward, every year Binh Duong province will make recommendations to the government, the Central government.
Department of Labor - Invalids - Social Affairs responded:
Minimum wages are the lowest wages required by the Labor Code issued by the National Assembly of the Socialist Republic of Vietnam. Minimum wage is the lowest rate paid to employees who perform the simplest jobs, in normal working conditions and must meet minimum living requirements of workers and their families. When the cost of living increases making the actual wage of workers fall, the Government will adjust the minimum wage to ensure their actual wages.
In addition, this minimum wage is used as the basis for calculating salary levels in the system of wage scales, payrolls, salary allowance levels and implementing other regimes prescribed by law.
Annually, the National Council on Wages bases on: cost index of essential commodities (such as food, food, housing, travel, medical services, education, etc); economic growth; average wage increase on the market. Conducting a meeting of parties and adjusting level of minimum wage adjustment areas submitted to the Government for publication to ensure the minimum living standard of workers.
According to the reflection of the business, the labor Industry would like to acknowledge and share difficulties of businesses. The Department of Labor, War Invalids and Social Affairs will summarize opinions and recommendations of businesses to report to the provincial People's Committee and make direct recommendations to the Ministry of Labor, Invalids and Social Affairs to make appropriate and timely adjustments.