Minimum Wage Regulations for Student Workers: Guidelines for Regional Application of Minimum Wage Determinations
How is the minimum wage for student workers regulated?
According to Article 4 of Decree 38/2022/ND-CP, the application of minimum wage is regulated as follows:
- The monthly minimum wage is the lowest wage used as a basis for negotiating and paying wages to employees who are paid on a monthly basis, ensuring that the wage for the job or position for employees working the full normal working hours in a month and completing the agreed labor requirements is not lower than the monthly minimum wage.
- The hourly minimum wage is the lowest wage used as a basis for negotiating and paying wages to employees who are paid on an hourly basis, ensuring that the wage for the job or position for employees working in an hour and completing the agreed labor requirements is not lower than the hourly minimum wage.
- For employees paid on a weekly or daily basis or by products or tasks, the wages for these payment methods, when converted to monthly or hourly wages, must not be lower than the monthly minimum wage or the hourly minimum wage. The wage conversion to monthly or hourly wages is based on the normal working hours selected by the employer in accordance with labor laws as follows:
+ The monthly converted wage is calculated by multiplying the weekly wage by 52 weeks and dividing by 12 months, or by multiplying the daily wage by the number of normal working days in a month, or the product/task wage performed in normal working hours within a month.
+ The hourly converted wage is calculated by dividing the weekly wage or daily wage by the number of normal working hours in a week or a day, or by dividing the product/task wage by the number of working hours in the normal working hours to produce the product or complete the task.
The hourly minimum wage is the lowest wage used as a basis for negotiating and paying wages to employees who are paid on an hourly basis. This means that when students work part-time on an hourly basis, employers must pay them a wage that is at least equal to the hourly minimum wage stipulated by law.
How is the minimum wage for student workers regulated? What are the regulations on applying regional areas to determine the minimum wage? (Image from the Internet)
What is the minimum wage for students?
Based on Clause 1 Article 3 of Decree 38/2022/ND-CP, the minimum wage is regulated as follows:
- The monthly minimum wage and the hourly minimum wage for workers employed by employers are regulated by region as follows:
The minimum wage for students working on an hourly basis will be paid depending on the region where the students work, ranging from 15,600 VND/hour to 22,500 VND/hour.
How is the regional minimum wage applied?
According to Clauses 2 and 3 of Article 3 of Decree 38/2022/ND-CP regarding this content, the regulations are as follows:
- The list of regions I, II, III, IV specified in the Appendix issued together with this Decree is the basis for regulating the wage agreements with employers.
- The application of the regional minimum wage is determined according to the location of the employer's operations as follows:
+ Employers operating in a region apply the minimum wage stipulated for that region.
+ Employers with units or branches operating in different regions with varying minimum wages apply the minimum wage stipulated for the region where each unit or branch operates.
+ Employers operating in industrial zones or export processing zones located in regions with different minimum wages apply the highest minimum wage of those regions.
+ Employers operating in regions where the name or administrative division has been changed temporarily apply the minimum wage regulation prior to the change until the Government of Vietnam issues new regulations.
+ Employers operating in newly established regions from one or multiple regions with different minimum wages apply the highest minimum wage of those regions.
+ Employers operating in cities directly under a province, newly established from one or several regions of region IV, apply the minimum wage stipulated for provincial cities as detailed in Clause 3 of the Appendix issued together with this Decree.
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