VGCL proposes to adjust the minimum wage from January 1, 2027

Quỳnh Chi |

According to the VGCL, continuing to adjust the regional minimum wage early is important and urgent for workers and their families.

On the afternoon of June 23, at the first meeting of the National Wage Council, Ms. Tran Thi Thanh Ha - Member of the Standing Committee, Deputy Head of the Labor Relations Department of the Vietnam General Confederation of Labor, on behalf of the Vietnam General Confederation of Labor, proposed adjusting the regional minimum wage in 2027 by month with 2 options:

Option 1: Adjust the minimum wage to increase from 360 to 520 thousand VND, an average increase of 9.8% compared to 2026.

Option 2: Adjust the minimum wage to increase from 315 to 450 thousand VND, an average increase of 8.5% compared to 2026.

Regarding the adjustment of the hourly minimum wage, the VGCL proposed to determine the hourly minimum wage based on the monthly minimum wage conversion and have an adjustment coefficient.

To have a basis for proposing to increase the regional minimum wage according to the above 2 options, in March and April 2026, the Vietnam General Confederation of Labor conducted a survey in 7 provinces and cities with 196 businesses, nearly 2,000 workers answering questionnaires showed:

Regarding basic spending: 54.3% of workers said that their salaries and incomes are just enough for basic family expenses (in 2025 it is 54.9%); 17.2% have to be thrifty and spend lavishly (in 2025 it is 26.3%); 20.6% are not enough to live on, have to work overtime (in 2025 it is 7.9%); 7.9% are basically well-off, have savings (in 2025 it is 10.9%). In general, basic spending of surveyed workers in 2026 tends to be more difficult than in 2025, most are only enough to cover living expenses, while the ability to accumulate is still low.

Compensating for spending shortages: Many cases of workers having to borrow money to pay for unexpected needs, specifically, the survey results show that 26.8% of regular workers (monthly) have to borrow money to stabilize their lives (in 2025 it is 12.5%); 32.7% of workers occasionally (3-4 months/time) have to borrow money (in 2025 it is 29.9%).

Compared to the 2025 survey results, the rate of employee borrowing in 2026 increased significantly compared to 2025, reflecting an increasing financial pressure. This trend reflects the pressure of living expenses increasing faster than actual income, reducing accumulation capacity and increasing personal financial risks.

Nutrition: Only 52.2% of workers have enough conditions to eat meat and fish in all main meals (excluding lunch meals at enterprises) (55.5% in 2025). Thus, a significant part still does not have a stable and adequate nutrition level, thereby affecting physical health, efficiency and labor productivity, and also reducing the quality of life of them and their families. At the same time, there is a relatively clear decrease in the nutritional conditions of workers compared to 2025 (down 3.3 percentage points).

Education costs: More than 55.5% of workers said that wages only meet a part (over 50%) of the demand for children's education expenses (53.3% in 2025). Thus, for the majority of workers, education costs are still a financial burden and they have to depend on support sources such as borrowing, savings or from family to cover expenses. This trend has changed in a negative direction in 2026 compared to 2025.

Medical examination and treatment costs: 39.8% of workers said their income only ensures basic health care and medical examination and treatment needs (44.1% in 2025); 46.1% only have enough money to buy some basic medicines (38.0% in 2025); 2.9% are completely insufficient to buy medicine and medical examination and treatment (5.6% in 2025). The majority of workers do not have enough financial capacity to proactively take comprehensive health care, especially when encountering serious medical problems or needing long-term treatment. The situation in 2026 has not improved compared to 2025, increasing long-term health risks for workers.

There are 32.1% of workers who have to rent private boarding houses (20.8% in 2025); 0.9% in collective houses of enterprises (3% in 2025). The average housing area only reaches 23.56m2, while the average number of people living together is 3.08 people (24.9m2 for 2.8 people in 2025, an average of about 8.89m2). The average housing area per capita only reaches about 7.6 m2/person. Thus, the number of workers who have to rent private boarding houses has increased higher than in 2025, the average housing area is significantly lower than the average housing area standard of urban residents today and is increasingly shrinking, showing the reality that many workers still have to live in increasingly cramped housing conditions.

About getting married: 55.3% of the total number of unmarried people said that salary is the main reason affecting their decision to get married (in 2025 it was 72.6%). Workers feel that their current income is not enough to ensure a stable life when starting a family, especially in the context of increasing living and childcare costs. Salary levels not only affect daily spending but also affect home purchases, savings for the future and ensuring basic needs for a new family.

Regarding childbirth: 72.9% of married workers said that their current salaries and incomes affect their decision to have more children (in 2025 it is 72.5%). A living income level makes couples worried about their financial ability to raise children. While childcare costs, especially education and health care costs, are increasingly expensive, they are delaying childbirth to ensure the quality of life for themselves and their families.

Quỳnh Chi
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VGCL proposes a plan to increase the highest regional minimum wage by 9.8% compared to 2026

LƯƠNG HẠNH |

On the afternoon of June 23, the National Wage Council held its first session to exchange views on the regional minimum wage plan for 2027.

Support for increasing the regional minimum wage to a minimum level of 7.1%

Quỳnh Chi |

Talking to Lao Dong reporters before the National Wage Council meeting, experts supported the minimum regional wage increase in 2027 at a minimum of 7.1%.

Base salary is only 56% of the regional minimum wage, many differences in salary payment mechanism

LƯƠNG HẠNH |

The 56% gap between the base salary and the regional minimum wage is not only an income gap, but also reflects differences in the wage payment model between the two regions.