Who decides to establish the National Wage Council in Vietnam? What are the duties of the National Wage Council in Vietnam?
What are the duties of the National Wage Council in Vietnam?
Pursuant to Article 50 of Decree No. 145/2020/ND-CP stipulating the duties of the National Wage Council as follows:
- Carry out surveys; collect information; carry out analysis of salaries and subsistence standards of workers, business performance of enterprises, labor demand – supply relation, employments and unemployment in the economy, and other relevant factors as the basis for determination of minimum wages.
- Prepare reports on minimum wages based on the factors prescribed in Clause 3 Article 91 of the 2019 Labor Code of Vietnam.
- Review the subsistence standards of workers and their families; apply minimum wages to separate regions.
- Hold annual negotiations to propose to the Government the plan for adjustments to region-based minimum wages (including monthly and hourly minimum wages).
- Provide consultation for the Government regarding policies on salaries of employees in enterprises, agencies, organizations and cooperatives in accordance with the 2019 Labor Code of Vietnam.
Who decides to establish the National Wage Council in Vietnam? What are the duties of the National Wage Council in Vietnam?
Who decides to establish the National Wage Council in Vietnam?
Pursuant to the provisions of Article 49 of Decree No. 145/2020/ND-CP stipulating as follows:
Functions of National Wage Council
National Wage Council shall be established by the Prime Minister in accordance with Clause 2 Article 92 of the Labor Code and will provide consultation for the Government regarding:
1. Region-based minimum wages (including monthly and hourly minimum wages).
2. Policies on salaries of employees according to the Labor Code.
According to the above regulations, the National Wage Council is established by decision of the Prime Minister.
The National Wage Council will provide consultation for the Government regarding:
- Region-based minimum wages (including monthly and hourly minimum wages).
- Policies on salaries of employees according to the 2019 Labor Code of Vietnam.
How many members does the National Wage Council have?
Pursuant to the provisions of Clause 1, Article 51 of Decree No. 145/2020/ND-CP, the organizational structure of the National Wage Council is as follows:
- National Wage Council has 17 members:
+ 05 members are representatives of the Ministry of Labor, War Invalid and Social Affairs;
+ 05 members are representatives of Vietnam General Confederation of Labor;
+ 05 members are representatives of some central employer representative organizations;
+ 02 members are independent experts (hereinafter referred to as “independent members).
To be specific:
- The President of National Wage Council is a Deputy Minister of Labor, War Invalid and Social Affairs;
- 03 Vice Presidents of National Wage Council include:
+ A Vice President of Vietnam General Confederation of Labor,
+ A Vice President of Vietnam Chamber of Commerce and Industry
+ A Vice President of Vietnam Cooperative Alliance (VCA);
- Other members of National Wage Council:
+ 04 representatives of the Ministry of Labor, War Invalid and Social Affairs; 05 representatives of Vietnam General Confederation of Labor;
+ 03 representatives of central employer representative organizations (including 01 representative of Vietnam Association of Small and Medium Enterprises and 02 representatives of 02 central labor-intensive trade associations);
+ 02 independent members are experts or scientists specialized in salaries, economics, society (except those working at agencies, units, research institutes, universities of the Ministry of Labor, War Invalid and Social Affairs, Vietnam General Confederation of Labor and central employer representative organizations).
How does the National Wage Council operate?
Pursuant to Article 52 of Decree No. 145/2020/ND-CP stipulating the operation of National Wage Council as follows:
- National Wage Council shall work as a collective via meetings chaired by the President; open and democratic discussions; voting under majority rules.
- National Wage Council has its own seal which s managed by the Ministry of Labor, War Invalid and Social Affairs as prescribed by law.
- Funding for operation of National Wage Council shall be included in annual budget for regular expenditures of the Ministry of Labor, War Invalid and Social Affairs and other lawful sources of funding as prescribed by law. The management, use and reporting of state funding shall comply with regulations of law on state budget and their guiding documents.
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