Accordingly, the establishment of labor productivity norms according to Article 8 of Decree No. 49/2013/ND-CP is used as the basis for giving product-based pay to employees.
Any enterprise that employs fewer than 10 workers shall be exempt from submitting its pay scale, payroll, and labor productivity norms to the labor authority of district where its business facilities are located.
Accordingly, in case a laborer transfers to another job or occupation, salary on which social insurance premiums are based must be changed in line with the new job or occupation rather than being keeping according to the earlier job or occupation.
If after the probation contract expires, the company decides to sign a labor contract for at least 3 months with the probationer, it shall withhold PIT on the probationer’s income, including income paid for the probation period, according to the progressive tax table.
In contrast, if after the probation contract expires, the company does not sign a labor contract, probation salary shall be withheld PIT at the rate of 10% (except for the case in which the probationer has commitment of low income).
Accordingly, following the increase of the statutory pay rate, salaries and allowances of public officials and public employees shall be increased in compassion with the current levels.
In addition, social insurance premiums and benefits based on the statutory pay rate shall be also increasing adjusted, such as: pensions, social insurance benefits, monthly allowances.
Especially, the maximum social insurance premiums (20 times higher than the statutory pay rate) shall be increased from VND 26 million to VND 27.8 million. Maternity allowances (2 times higher than the statutory pay rate) shall be increased from VND 2.6 million to VND 2.78 million.
This Decree takes effect from July 1st, 2018 and replaces Decree No. 47/2017/ND-CP dated April 24th, 2017.
- Region I: Increased by VND 230,000 (from VND 3,750,000 to VND 3,980,000/month);
- Region II: Increased by VND 210,000 (from VND 3,320,000 to VND 3,530,000/month);
- Region III: Increased by VND 190,000 (from to 2,900,000 to VND 3,090,000/month);
- Region IV: Increased by VND 180.000 (from VND 2,580,000 to 2.760.000/month).
Areas to which the region - based minimum wage levels are applied from 2018 are also adjusted in comparison with 2017 as follows:
Area in Region II which is changed to Region I is Long Khanh town (Dong Nai province);
Areas in Region III which are changed to Region II include: Thong Nhat rural district (Dong Nai province); Thu Thua rural district (Long An provice); Tam Ky city (Quang Nam province);
Areas in Region IV which are changed to Region III include: Phu Ninh rural district (Quang Nam province); Loc Ninh and Phu Rieng rural district (Binh Phuoc province).
Area in Region III which is changed to Region IV is Luong Son rural district (Hoa Binh province).
Notably, the above - mentioned region - based minimum wage levels are applied to those who work the simplest jobs. For laborers who have undergone vocational learning, vocational training, such the region - based minimum wage levels must be at least 7% higher.
This Decree takes effect from January 1st, 2018 and replaces Decree No. 153/2016/ND-CP dated November 14th, 2016.
In line with the increased basic wage level, the ceiling social insurance shall be increased from 24.2 million VND/month to 26 million VND/month. Maternity allowances (2 basic wage months) shall be also increased from 2.42 million VND/month to 2.6 million VND/month.
This Decree shall take effect from July 1st, 2017 and replace Decree No. 47/2016/ND-CP.