In implementation of Decree No. 141/2017 / ND-CP on the minimum wage level for laborers working under labor contracts, enterprises in the province actively planed to ensure benefits for workers. At present, most workers in trade unions receive a wage increase. This is the premise for laborers to enthusiastically work, contribute their intellect and labor to the company.
Wages increase, workers of Binh Duong Garment Joint Stock Company (Thuan An Town) have actively worked and made long-term commitment to the enterprise.
Enterprises adjust regional minimum wage
Maruei Vietnam Precision Co., Ltd. (Vietnam - Singapore Industrial Park, 100% Japanese-invested) currently has about 1,300 workers. In implementation of Decree No. 141/2017 / ND-CP stipulating the regional minimum wage level applicable to employees working under labor contracts, the company has adjusted the regional minimum wage to VND 3,980,000 / month / person. Nguyen Van Tuan, Chairman of the company Trade Union said: "Right after the written instructions of provincial Labor Confederation to adjust the regional minimum wage, the trade union closely cooperated with the company to adjust salary in payroll as well as the salary stated in labor contracts according to the law. As adjusting salary, the company carefully reviewed the position and skills of each employee. Particularly, the company attaches importance to long-term labor force to make appropriate adjustments. In addition, the union also advised business mangers to pay higher than the minimum level to encourage workers to work harder and their long-term commitment to enterprises.
Dong Hung Industrial Joint Stock Company (Di an town) has also implemented well salary policy for laborers. As a footwear manufacturing company with more than 5,200 workers, the company always guarantees the regional minimum wage for workers. Through a survey at the company, this minimum wage was the basis for the company to negotiate, pay salaries to workers, and divided into two groups: Salary group is not lower than the minimum wage area for unskilled labor force doing simple works; and the group has at least 7% higher than the regional minimum wage for trained laborers. Compared to 2017, this year the company has paid the uplands minimum wage.
Hoang Ngoc Hien, Chairman of the company's Trade Union said: "In the last year, Directors’ Board of the company maintained the regional minimum wage in accordance with the law, cared for material and spiritual lives of workers, gave material supports to poor laborers who have life difficulties in order to encourage and help them to overcome and better their life”. According to statistics of Labor Confederation, in the first quarter of 2018, 100% of enterprises having trade unions adjusted the regional minimum wage in payroll according to the Government decree.
Lives of workers are improved
Salary increases, labor force is very excited, because their lives are improving. Nguyen Thi Luong, a sewing worker of Binh Duong Garment Joint Stock Company said: "The company has increased the regional minimum wage for workers from January 2018. I am very happy, excited and worked more enthusiastically. Salary increase means reducing difficulties for laborers. In the latest three months, my salary increase was saved in piggy bank, and at the end of the year I will have a small to send to my parents."
Vang Hau Buu from An Giang province, a worker of FrieshlandCampina Co., Ltd. said: "Previously, my couple had a monthly income of about VND9 million. We must pay room rent, electricity, water bill, food and send an amount to our hometown for our children. Since the salary increase, our lives are less difficult; we saved more money for our children education. Furthermore, at the end of the year, the company also paid a 13th-month salary to excellent workers of the year, present gifts to laborers with difficulties. I am very satisfied with the company's policy”.
Besides workers are excited about salary increase, there are some workers are worried that insurance premiums will increase too and put a pressure on businesses, then businesses will have to narrow production, leading to increased unemployment. In fact, some enterprises in the area have low labor productivity, and if labor cost is too much, businesses will no longer have the capacity to innovate technology and equipment to increase labor productivity. Therefore, many enterprises have negotiated with laborers to remove difficulties, set a roadmap for increasing wages in each period to ensure both production and laborers’ interests.
Talking to us about the regional minimum wage increase for workers under labor contracts, said Tran Thi Bich Hanh, Chairwoman of Provincial Labor Federation, said that the regional minimum wage increase was a big issue not only to the province but also to the whole country, because it is associated with national competitiveness when Vietnam joins the Comprehensive and Progressive Agreement for Trans-Pacific Partnership (CPTPP). Being aware of this, Provincial Labor Federation instructed trade unions to advise enterprises to devise development strategies so that when the salary increases, labor productivity should also increase proportionately.
Therefore, in addition to ensuring the minimum living standard for workers, enterprises need to pay attention to the development of high quality human resources, improve knowledge and skills for workers to increase productivity and product quality. This is the effective solution, the basis for increasing income for workers in the province in the current trend. At the same time, provincial Labor Confederation also encourages thriving businesses to increase the regional minimum wage. Strictly sanction companies that raise wages but cut labor costs or the company fails to implement salary policy under the signed contract.
Reported by Kim Ha – Translated by Ngoc Huynh
