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THE
GOVERNMENT
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SOCIALIST REPUBLIC OF VIETNAM
Independence - Freedom
Happiness
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No.
111/2008/ND-CP
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Hanoi,
October 10, 2008
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DECREE
PROVIDING
AREA MINIMUM WAGE RATES FOR VIETNAMESE EMPLOYEES WORKING FOR ENTERPRISES WITH
FOREIGN OWNED CAPITAL, FOREIGN BODIES AND ORGANIZATIONS, INTERNATIONAL
ORGANIZATIONS AND FOR FOREIGN INDIVIDUALS IN VIETNAM
THE GOVERNMENT
Pursuant to the Law on
Organization of the Government dated 25 December 2001;
Pursuant to the Labour Code dated 23 June 1994, the Law on Amendment of the
Labour Code dated 2 April 2002, and the Law on Amendment of the Labour Code
dated 29 June 2006;
Pursuant to Resolution 56/2006/NQ-QH11 of Legislature X1 of the National
Assembly dated 29 June 2006 on the socio-economic developmental master plan for
the five year period 2006 - 2010; Having considered the proposal of the
Minister of Labour, War Invalids and Social Affairs;
DECREES:
Article 1
To regulate the area minimum
wage rate to be used to pay employees doing the most basic work in normal
working conditions for enterprises with foreign owned capital, foreign bodies
and organizations, international organizations and foreign individuals in
Vietnam (hereinafter collectively referred to as enterprises), which shall be
implemented as from 1 January 2009, as follows:
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The Appendix to this Decree
contains the List of Areas I, II, III and IV.
Article 2
1. The area minimum wage rates
stipulated in article 1 of this Decree shall be used as the basis for calculating
wage scales, wage tables and all types of allowances; for calculating wage
rates recorded
in labour contracts, and for
implementing other regimes formulated by enterprises and promulgated by them in
accordance with authority as provided in the law on labour.
2. The lowest wage rate payable
to employees who have passed vocational training courses (including employees
who have been trained by the enterprise which employs them) must be at least
seven (7) per cent higher than the area minimum wage rates stipulated in
article 1 of this Decree.
3. Enterprises are encouraged to
pay higher minimum wage rates than those stipulated in article 1 of this
Decree.
4. Enterprises shall amend the
wages stipulated in labour contracts for compliance with the area minimum wage
rates stipulated in article 1 of this Decree.
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1. The Government shall amend
the area minimum wage rates stipulated in article 1 of this Decree depending on
the economic growth rate, the cost of living index, and labour supply and
demand in each period.
2. The Ministry of Labour, War
Invalids and Social Affairs shall, after consultation with the Vietnam General
Confederation of Labour, representatives of employers and relevant ministries
and branches, make submissions to the Government for amendment of the area
minimum wage rates stipulated in clause 1 of this article.
Article 4
This Decree shall be of full
force and effect as from 1 January 2009. The following is hereby repealed:
Decree 168-2007-ND-CP of the Government dated 16 November 2007 providing
minimum wage rates for Vietnamese employees working in enterprises with foreign
owned capital, foreign bodies and organizations, international organizations
and for foreign individuals in Vietnam.
Article 5
Ministers, heads of ministerial
equivalent bodies, heads of Government bodies, and chairmen of people's
committees of provinces and cities under central authority shall be responsible
for implementation of this Decree.
FOR THE
GOVERNMENT
PRIME MINISTER
Nguyen Tan Dung
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APPENDIX
LIST
OF MINIMUM WAGE RATE (Issued with Decree 111/2008/ND-CP of the Government dated 10 October 2008)
1. Area I, comprising:
- Inner city districts1 of Hanoi and Ha Dong City of
Hanoi.
- Inner city districts of Ho Chi Minh City.
2. Area II, comprising:
- Outer city districts of Hanoi
being Gia Lam, Dong Anh, Soc Son, Thanh Tri, Tu Liem, Thuong Tin, Hoai Duc, Dan
Phuong, Thach That, Quoc Oai, and Son Tay City of Hanoi.
- Outer city districts of Ho Chi Minh City.
- Inner city and outer city
districts of Hai Phong City
being Thuy Nguyen and An Duong.
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- Inner city districts of Can
Tho City being Ninh Kieu and Binh Thuy.
- Ha Long
City in the province of Quang Ninh.
- Bien Hoa City, Long Khanh
township, and the rural districts of Nhon Trach, Long Thanh, Vinh Cuu and Trang
Bom in the province of Dong Nai.
- Thu Dau Mot township, and the
rural districts of Thuan province
of Binh Duong.
Vung Tau City and the rural district of Tan Thanh in the province of Ba Ria - Vung Tau.
3. Area III, comprising:
- Cities in provinces (except
for cities in provinces listed in Area II).
- The remaining outer city
districts of Hanoi.
- Bac Ninh City, Tu Son
township, and the rural districts of Que Vo, Tien Du and Yen Phong in the
province of Bac Ninh.
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province of Hung Yen.
- Hai Duong City, and the rural
districts of Cam Giang, Nam Sach, Chi Linh, Kim Thanh and Kinh Mon in the
province of Hai Duong.
- Vinh
Yen City
and Phuc Yen province of Vinh Phuc.
- The remaining outer city
districts of Hai Phong City.
Mong Cai City and the townships of Uong Bi and Cam Pha in the province of Quang Ninh.
- Da Lat City and Bao Loc province
of Lam Dong.
- Nha
Trang City
and Cam Ranh province of Khanh Hoa.
- The rural district of Trang
Bang in the province
of Tay Ninh.
- The remaining outer city
districts in the province
of Binh Duong.
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- Tan province of Long An.
- The remaining inner and outer
city districts of Can Tho City.
- Ba Ria township, and the rural
districts of Chau Duc, Long Dien, Dat Do and Xuyen Moc in the province of Ba
Ria - Vung Tau.
4. Area IV, comprising: All
remaining areas.