Ministry of Home Affairs proposes to increase minimum wage by 7.2%, applicable from 2026

The draft Decree stipulates an increase of 7.2% in the minimum wage compared to the current level, effective from January 1, 2026. Accordingly, the minimum wage will increase by VND 250,000 - VND 350,000 compared to the current minimum wage.

The Ministry of Justice is reviewing a draft Decree regulating minimum wages for employees working under labor contracts.

The Ministry of Home Affairs proposed a 7.2% increase in the minimum wage, effective from 2026.

According to the report of the Ministry of Home Affairs, the subjects of application include: employees working under labor contracts; employers and other agencies, organizations and individuals related to the implementation of the minimum wage.

The draft Decree stipulates an increase of 7.2% in the minimum wage compared to the current level, applicable from January 1, 2026 (coinciding with the National Wage Council's plan).

Accordingly, the draft stipulates the minimum monthly wages according to 4 regions: region I is 5,310,000 VND/month, region II is 4,730,000 VND/month, region III is 4,140,000 VND/month, region IV is 3,700,000 VND/month.

The above minimum wage increases from VND 250,000 - VND 350,000 (equivalent to an average rate of 7.2%) compared to the current minimum wage. The above minimum wage adjustment is about 0.6% higher than the minimum living standard of workers until the end of 2026 to improve for workers.

"This adjustment level shares and harmonizes the interests of workers and businesses, paying attention to improving the lives of workers while ensuring the maintenance and development of business production," the Ministry of Home Affairs explained.

The draft also stipulates minimum hourly wages in four regions: region I is 25,500 VND/hour, region II is 22,700 VND/hour, region III is 20,000 VND/hour, region IV is 17,800 VND/hour.

The minimum hourly wage continues to be determined based on the equivalent conversion method from the monthly minimum wage and standard working time as prescribed by the Labor Code.

“This is the method that ILO experts have recommended Vietnam to choose and have used when calculating the minimum hourly wage from 2022 to present,” said the Ministry of Home Affairs.

According to the Ministry of Home Affairs, the adjustment of the minimum wage will be implemented from January 1, 2026 to ensure time for businesses to prepare plans and resources for implementation.

The Ministry of Home Affairs said that most countries choose the time to adjust the minimum wage to coincide with the start of the fiscal year to facilitate business production planning of enterprises.

In Vietnam, from 2000 to now, the Government has adjusted the minimum wage 20 times in general, of which 15/18 times were adjusted on January 1. The other adjustments on January 1 every year were associated with unusual fluctuations.

tienphong.vn

Source: https://baolaocai.vn/bo-noi-vu-de-xuat-tang-luong-toi-thieu-72-ap-dung-tu-nam-2026-post883220.html