Le Huu Tien – Paralegal

On 10 November 2025, the Government promulgated Decree No. 293/2025/ND-CP (“Decree No. 293”) providing for the minimum wage applicable to employees working under labor contracts in accordance with the Labor Code. Accordingly, Vietnam continues to apply four (04) wage zones, with the minimum wage for each zone adjusted as follows

• Zone I increases by VND 350,000/month, from VND 4,960,000/month to VND 5,310,000/month;
• Zone II increases by VND 320,000/month, from VND 4,410,000/month to VND 4,730,000/month;
• Zone III increases by VND 280,000/month, from VND 3,860,000/month to VND 4,140,000/month;
• Zone IV increases by VND 250,000/month, from VND 3,450,000/month to VND 3,700,000/month.

Accordingly, the new minimum wage levels represent an average increase of 7.2% compared to the current regulations.

Notably, in cases where, after the adjustment of the applicable geographical areas, the minimum wage specified in the Appendix of Decree 293 is lower than the minimum wage prescribed by the Government as of 31 December 2025, the employer must continue paying wages based on the minimum wage in effect on 31 December 2025. This provision applies to employees recruited prior to 31 December 2025 and remains valid until the Government issues new regulations. The purpose of this requirement is to ensure that employees’ rights and income are not reduced due to changes in administrative boundaries or in the classification of geographical areas for minimum wage application.

The issuance of Decree 293 demonstrates the policy orientation of adjusting minimum wage regulations in line with the current socio-economic situation, better reflecting the development conditions of each region, while contributing to the stabilization and improvement of employees’ living standards amid fluctuations in prices and living costs.

Decree 293 takes effect from 01 January 2026. Therefore, enterprises should proactively review and update their wage regulations, collective bargaining agreements, and labor contracts from the fourth quarter of 2025 to ensure compliance with the new requirements when the policy officially comes into force.

Here is our article about INCREASE OF MINIMUM WAGE FROM 2026 – A POSITIVE SIGNAL FOR VIETNAM’S LABOR MARKET. If you are interested or require legal support regarding electronic identification procedures for enterprises, please visit our DIMAC Website and explore the News Category to stay updated with the latest legal insights and shared market experiences.