Vietnam Regulations Change 2019
1. Minimum wage changes as of 1st January 2020
On 15th of November 2019, The Vietnamese Government issued Decree No. 90/2019/ND-CP detailing new region-based minimum wages for labourers working under a labour contract. Below is the region-based minimum wages under the new decree in comparison with previous ones:
The Decree will be effective from 1 January 2020 and will replace Decree No. 157/2018/ND-CP.
2. New Common Wage Increase in June 2020
On 12 November 2019, the National Assembly approved Resolution No. 86/2019/QH14 on national budget for year 2020.
The new common wage will be adjusted accordingly from VND 1,490,000/month to VND 1,600,000/month as of 1 July 2020.
3. National Assembly passed Amended Labour Code
As a result, the cap of salary for Social insurance and Health insurance contribution will increase from VND29,800,000/month to VND32,000,000/month.
On 20 November 2019, the National Assembly approved the amended Labour Code which will come into effect as of 1 January 2021. Updates on the amended Labour Code will be released thereafter.