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National Wage Council agrees on 7.8% regional minimum wage increase from January 1, 2027

Under the proposal, which will be submitted to the Government for approval, the regional minimum wage will increase by between 310,000 VND (11.81 USD) and 390,000 VND per month, depending on the region.

National Wage Council agrees on a 7.8% regional minimum wage increase from January 1, 2027 (Photo: VNA)
National Wage Council agrees on a 7.8% regional minimum wage increase from January 1, 2027 (Photo: VNA)

Hanoi (VNA) – Vietnam’s National Wage Council on July 16 reached a consensus on raising the regional minimum wage by an average of 7.8% from January 1, 2027, following its second round of negotiations on the annual wage adjustment.

Under the proposal, which will be submitted to the Government for approval, the regional minimum wage will increase by between 310,000 VND (11.81 USD) and 390,000 VND per month, depending on the region.

Accordingly, the monthly minimum wage in Region I will rise from 5.31 million VND to 5.7 million VND, an increase of 390,000 VND. Region II will see the minimum wage increase from 4.73 million VND to 5.08 million VND, up 350,000 VND. In Region III, the wage will rise from 4.14 million VND to 4.45 million VND, an increase of 310,000 VND, while Region IV will increase from 3.7 million VND to 4.04 million VND, up 340,000 VND.

The agreement followed negotiations between representatives of employees, employers and relevant government agencies.

Ahead of the second negotiation session, the Vietnam General Confederation of Labour (VGCL) had proposed two options for raising the regional minimum wage by 9.8% or 8.5%, both to take effect from January 1, 2027.

Meanwhile, Hoang Quang Phong, Vice President of the Vietnam Chamber of Commerce and Industry (VCCI), told the media that the business community had proposed an adjustment of around 5%, preferably from July 1, 2027. He noted that a significantly higher increase could place additional financial pressure on businesses, potentially affecting employment and labour market stability.

The classification of localities into Regions I, II, III and IV is specified in the Appendix to Government Decree No. 293/2025/ND-CP./.

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