A new decree has brought changes to the way minimum wages are determined in Vietnam. The Nghị định 128/2025/NĐ-CP, effective from July 1, 2025, stipulates that minimum wages will now be set according to communal-level regions instead of the previous district-level regions.
According to Clause 7, Article 15 of the decree, the list of communal-level regions and their respective minimum wage rates for laborers working under labor contracts is detailed in Appendix I.
Employers who find that the new minimum wage rates for their region are lower than the previously implemented district-level rates are advised to continue paying their employees the higher district-level wages until further government regulations are issued.
Details of the four communal-level regions and their respective minimum wage rates effective from July 1, 2025
The following images illustrate the four communal-level regions and their respective minimum wage rates, as per Appendix I of the decree:
Region I
Region II
Region III
Region IV
Current minimum wage rates
As per Decree 74/2024/NĐ-CP, the following are the current minimum monthly and hourly wage rates for the four regions:
Region I
Minimum monthly wage: 4,960,000 VND/month
Minimum hourly wage: 23,800 VND/hour
Region II
Minimum monthly wage: 4,410,000 VND/month
Minimum hourly wage: 21,200 VND/hour
Region III
Minimum monthly wage: 3,860,000 VND/month
Minimum hourly wage: 18,600 VND/hour
Region IV
Minimum monthly wage: 3,450,000 VND/month
Minimum hourly wage: 16,600 VND/hour
What Minimum Wage Region Applies to Ho Chi Minh City Workers Post-Merger?
“Prior to July 1st, if the minimum wage applicable to the communal level was lower, the previously implemented wage rates would remain in effect.”
The New Minimum Wage for 34 Provinces Effective July 1st, 2025
As of July 1st, 2025, a new approach to determining minimum wage will be implemented, with a shift from the current district-based system to a commune-based one.
What Minimum Wage Region Do Ho Chi Minh City Workers Fall Under Post-Merger?
The minimum wage for rural areas will remain at the previously applied rate if it was higher than the rate effective from July 1st.
Proposed Minimum Wage for the Merged Province-City Region
The Ministry of Home Affairs has compiled a list of commune-level areas that will be subject to the new regional minimum wage framework, as outlined in Government Decree No. 74/2024. This follows the recent merger of provincial and communal administrative units, with the ministry delineating four distinct regions for this purpose.
The Ministry Proposes Minimum Wage Adjustments for 34 Merged Provinces
The Ministry of Home Affairs constructs a roster of commune-level localities that will implement the new regional minimum wage following the merger of administrative units at the provincial and communal levels.
