Newly updated: Will trained workers continue to apply for a salary in Vietnam at least 7% higher than the regional minimum wage from July 1, 2022?

Hello Advisory Board, I have the following questions: Decree 38 in 2022 stipulates that in the near future, the difference of 7% in regional minimum wages will no longer apply to employees who have received vocational training. So, in my case, the salary in Vietnam agreement has been agreed that there is a difference of 7% compared to the regional minimum wage, from July 1, 2022, can I continue to apply the salary as previously agreed? Thank you!

Guidance on the mechanism of application of the hourly minimum wage and the monthly regional minimum wage in Decree 38/2022/ND-CP?

Pursuant to subsection 1.1, section 1 of Official Dispatch 2086/BLDTBXH-TLDLDVN dated June 17, 2022 guiding the implementation of Decree 38/2022/ND-CP on minimum wages, has the following instructions:

Regarding the mechanism and subjects of application: the monthly minimum wage and the hourly minimum wage are the lowest wages as the basis for employees in the area to properly implement Decree 38/2022/ND-CP. determine:

- Minimum monthly salary is applied to employees who are receiving salary in the form of monthly salary payment.

- The minimum hourly wage is applied to employees who are receiving wages in the form of hourly wages.

- For employees who are receiving salary according to other forms of salary payment (weekly, daily, product-based, package quantity), the salary currently paid according to these forms of payment shall be converted to monthly or hourly basis. according to points a and b, Clause 3, Article 4 of Decree No. 38/2022/ND-CP) must not be lower than the monthly minimum wage or the minimum hourly wage prescribed by the Government. The conversion of this monthly or hourly salary is selected by the employer, the conversion result is to check the compliance with the payment to the employee in different forms compared to the minimum monthly salary or the salary level. Minimum hourly wages are set by the Government. The Decree does not require a change in the form of salary payment agreed upon by the employer and the employee.

Thus, the implementation of the mechanism and subjects of application of the monthly minimum wage and the hourly minimum wage shall comply with the above provisions.

Newly updated: Will trained workers continue to apply for a salary  in Vietnam at least 7% higher than the regional minimum wage from July 1, 2022?

Recently updated: Will trained workers continue to apply a salary higher than 7% of the regional minimum wage from July 1, 2022?

Will trained workers still apply a salary in Vietnam at least 7% higher than the current regional minimum wage?

Pursuant to subsection 1.1, section 1 of Official Dispatch 2086/BLDTBXH-TLDLDVN dated June 17, 2022 guiding the implementation of Decree 38/2022/ND-CP on minimum wages, has the following instructions:

Responsibilities for implementation of Clause 3, Article 5 of Decree No. 38/2022/ND-CP stipulating the responsibilities of employers:

- Review the agreements in the labor contract, the collective labor agreement and the employer's regulations and regulations to adjust and supplement accordingly, not to remove or reduce the salary regime when employees work overtime, work at night, compensation in kind and other regimes according to the provisions of labor law.

- With respect to the contents agreed and committed in the labor contract, labor agreement or other lawful agreements that are more beneficial to the employee than the provisions of this Decree, the implementation shall continue. , unless otherwise agreed by the parties, according to which, the implemented contents including the salary regime paid to employees doing jobs or titles requiring vocational training or vocational training are at least slightly higher. At least 7% of the minimum salary, the implementation will continue, unless otherwise agreed by the two parties in accordance with the provisions of the labor law.

Accordingly, the fact that the employee and the employer have made a commitment to each other about legal agreements beneficial to the employee, they will still comply with those commitments. Thus, for the agreement on the salary regime for people who have undergone vocational training, vocational training is at least 7% higher than the regional minimum wage, the above salary regime will continue to apply, except unless otherwise agreed by the parties.

Strengthen guidance and support for employees and employers to negotiate salary in Vietnam issues?

Pursuant to subsection 1.2, section 1 of Official Dispatch 2086/BLDTBXH-TLDLDVN dated June 17, 2022 guiding the implementation of Decree 38/2022/ND-CP has guided as follows:

"first. The Chairman of the People's Committees of the provinces and centrally-run cities are requested to direct the Department of Labor, War Invalids and Social Affairs to coordinate with the Management Boards of industrial parks, export processing zones, labor unions and representative organizations. Representatives of local employers and relevant departments and agencies carry out the following tasks:
….
1.2. Strengthen the guidance and support of employees, grassroots trade unions and employers in dialogue and negotiation activities, especially collective bargaining to agree on wages and establish other working conditions that are more favorable to employees than prescribed by law. Actively grasp the situation of labor relations in enterprises, promptly support, guide and handle arising problems, minimize labor disputes, strikes, ensure maintenance harmonious, stable and progressive labor relations in enterprises. Timely report to the Ministry of Labor, War Invalids and Social Affairs on the implementation of Decree No. 38/2012/NDCP in enterprises in the area, especially difficulties and obstacles for guidance on handling. timely handling.”

As such, the local Departments of Labor, War Invalids and Social Affairs will strengthen guidance and support for workers, grassroots trade unions and employers in performing the above-mentioned tasks. .

The above are the latest guidelines of the Ministry of Labor, War Invalids and Social Affairs on the application of Decree 38/2022/ND-CP, which contains contents related to the application of regional minimum wages. Employees and employers should know.

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