Vietnam’s Decree No. 399/2026/ND-CP sets higher monthly and hourly minimum wages for employees working under labor contracts, effective January 1, 2027. The monthly increase averages 7.8%, with reported gains of VND 310,000–390,000 depending on the region. The decree replaces Decree No. 293/2025/ND-CP.
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New minimum wage rates from January 1, 2027
| Wage region |
Monthly minimum |
Hourly minimum |
| Region I |
VND 5,700,000 |
VND 27,400 |
| Region II |
VND 5,080,000 |
VND 24,400 |
| Region III |
VND 4,450,000 |
VND 21,400 |
| Region IV |
VND 4,040,000 |
VND 19,400 |
The monthly figures are the new floors across the four regions; the hourly figures also rise in each region.
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38 Region I has the highest monthly minimum, while Region IV has the lowest. The stated VND 310,000–390,000 monthly increase is a range across regions, and 7.8% is the reported average—not the increase in every region.
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For a rough comparison, one report puts Region I’s new monthly minimum at about US$221. The dollar conversion is approximate and can vary with exchange rates.
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What the increase means for workers and employers
The minimum wage is a floor used as the basis for agreeing and paying wages; it is not a uniform salary increase for every employee. The increase therefore does not, by itself, require an employer to raise every worker’s pay by 7.8%. Employers must ensure pay meets the applicable minimum.
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The rate depends on the region assigned to the work location, so employers should check the decree’s locality list when determining which floor applies. The decree includes a list of areas covered by the four regions.
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Reports on the decree also say employers must not cut other employee wage benefits when implementing the higher minimums.
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31 The available source details do not establish every provision on specific allowances, cross-region sites, or updates to individual labor contracts and collective agreements, so those matters should be checked against the decree’s full text.
What changed—and what the figures do not mean
Decree 399 updates the regional monthly and hourly floors for employees under labor contracts and replaces the previous decree. It does not create one nationwide minimum: the new rate still varies by wage region.
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The average 7.8% increase summarizes the adjustment across the regions. It should not be read as a guaranteed raise of that amount for each employee, nor as a region-by-region percentage increase.
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