According to provincial Labour Confederation’s Vice Chairman Bui Thanh Nhan, from 1st January 2015, the Government’s Decree 103/2014/ND-CP pertaining to regional minimum wage (RMW) will take effect. At the present, provincial Labour Confederation directed their affiliates to strengthen participate in and supervise RMW implementation. Here is the interview between Mr. Nhan and Binh Duong Newspaper.
- According to Decree 103/2014/ND-CP of the Government, how is the RMW of Binh Duong province calculated, sir?
- According to Decree 103/2014 / ND-CP, Binh Duong province is in region I and II, namely, TDM City, Thuan An town, Ben Cat town, Tan Uyen town, Di An town Bau Bang district are region I having a RMW of VND3.1mln; Dau Tieng district, Phu Giao district are region II having a RMW of VND2.75mln. In addition, the lowest wage paid to employees that received vocational training must be 7% higher than RMW, namely, VND3.317mln for region I, and VND2.9425mln for region II.
Workers of Nitto Denko Vietnam Company in Vietnam – Singapore IP were in working hours.
- Sir, in addition to increasing income, how does RMW mean to employees?
- RMW is the foundation for businesses coordinating with Trade Unions and employees to make proper adjustments in payroll, salary level in labour contracts. Accordingly, salary level paid to employees must be in accordance with labour law, reasonable correspondence between untrained and trained employees, low seniority and high seniority employees. This will also encourage employees to work energetically.
- Are there any arisen problems or difficulties while implementing this regulation?
- When RMW is adjusted, some businesses reduce wages of employees working overtime, or working in hazardous conditions, or employees with high seniority, etc. Conflicts could occur.
- Where is the solution to increase salary but does not increase anxieties, especially at the end of the year?
- The end of the year is always a sensitive time, because of claims on extra salary, bonuses on occasion of Tet holidays. Therefore, provincial Labour Confederation directed affiliates to participate in and supervise RMW implementation. Namely, when making adjustments in salary level, employers must consult Trade Unions and make announcement to all employees; simultaneously report to authorities. The gap between different salary levels must encourage employees to improve professional skills, qualification.
While implementing RMW, businesses do not allow to cut down extra salary of employees working overtime or in hazardous conditions. Businesses must pay all allowances, bonuses bargained in labour contracts or in company regulations.
Particularly, Trade Union branches cooperate with employers to disseminate, make announcement of salary adjustment to all employees, workers; receive and settle claims, petitions from employees, preventing collective labour disputes.
Reported by T.Thao – Translated by Ngoc Huynh
