On November 10, 2025, the Government officially issued Decree No. 293/2025/ND-CP, regulating the minimum wage rates for employees working under labor contracts. This Decree governs both the monthly and hourly minimum wage rates, establishing a new legal basis for salary negotiation and payment starting from 2026.
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ToggleWhat is the Minimum Wage?
According to Clause 1, Article 91 of the Labor Code 2019, the minimum wage is the lowest payment rate for an employee performing the simplest work under normal working conditions. It is designed to ensure a minimum standard of living for employees and their families, in line with economic and social development conditions.
Minimum Wage Rates Table from January 1, 2026
Under Decree No. 293/2025/ND-CP, the regional minimum wage rates have been adjusted as follows:
| Region | Monthly Minimum Wage (VND/month) | Hourly Minimum Wage (VND/hour) |
|---|---|---|
| Region I | 5,310,000 | 25,500 |
| Region II | 4,730,000 | 22,700 |
| Region III | 4,140,000 | 20,000 |
| Region IV | 3,700,000 | 17,800 |
These rates are outlined in Decree 293/2025/NĐ-CP.
Principles for Determining the Applicable Region
The region for applying the minimum wage is determined based on the operating location of the employer according to the following principles:
- General Principle: Employers operating in a specific region must apply the minimum wage rate designated for that region.
- For Branches and Dependent Units: If an employer has units or branches operating in different regions with different minimum wage rates, each unit or branch must apply the rate designated for the region where it actually operates.
- For Industrial Parks, Export Processing Zones, and High-Tech Zones: Employers operating in industrial parks, export processing zones, high-tech zones, or concentrated digital technology zones located across areas with different minimum wage rates must apply the highest regional minimum wage rate.
- In Case of Administrative Boundary Changes:
- Renaming or dividing a region: Temporarily apply the minimum wage rate of the region prior to the change until new regulations are issued by the Government.
- Establishing a new region from one or more areas with different rates: Apply the highest regional minimum wage rate among the merged areas until new regulations are issued by the Government.
List of Regions for Vietnam Minimum Wage Application (2026) [Click to see detail]
Application Guidelines and Wage Conversion Formulas
The minimum wage is the absolute baseline that employers must not violate when negotiating and paying salaries to employees.
For Monthly and Hourly Wage Payment Methods
- Monthly Wage: The lowest baseline used to negotiate and pay wages for employees paid on a monthly basis. The wage paid for a job or title of an employee who works full normal working hours in a month and completes the agreed labor productivity norm or tasks must not be lower than the monthly minimum wage.
- Hourly Wage: The lowest baseline used to negotiate and pay wages for employees paid on an hourly basis. The wage paid for a job or title of an employee working for one hour and completing the agreed labor productivity norm or tasks must not be lower than the hourly minimum wage.
For Other Wage Payment Methods (Weekly, Daily, Piece-rate, or Package Wages)
For employees paid on a weekly, daily, piece-rate, or package basis, their wages—when converted to a monthly or hourly rate—must not be lower than the monthly or hourly minimum wage.
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Legal Disclaimer: The information provided is for general informational purposes only and does not constitute legal advice. For specific legal advice on compliance in Vietnam, schedule a consultation with NetViet or consult legal counsel.
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