The Vietnam Textile and Apparel Association proposes to increase the regional minimum wage by 7.8% from July 2027, 6 months later than the Ministry of Home Affairs' plan.

The Vietnam Textile and Apparel Association proposes to increase the regional minimum wage by 7.8% from July 2027, 6 months later than the plan the Ministry of Home Affairs is planning.

Commenting on the draft Decree regulating the minimum wage for workers working under contracts, the Vietnam Textile and Apparel Association proposed to reconsider the 7.8% increase and the application date from January 1, 2027. According to the association, the adjustment should be implemented from July 1, 2027. The textile industry currently has about 7,000 enterprises, employing about 3 million workers.

The plan proposed by the Ministry of Home Affairs is built on the recommendations of the National Wage Council after two negotiating sessions. Accordingly, the regional minimum wage is expected to increase by an average of 7.8% from the beginning of 2027, equivalent to an additional 310,000-390,000 VND per month.

The monthly minimum wage in region I will increase to 5.7 million VND; Region II 5.08 million; Region III 4.45 million VND and region IV 4.04 million VND. The corresponding hourly minimum wage is 27,400 VND, 24,400 VND, 21,400 VND and 19,400 VND.

Explaining this plan, the Ministry of Home Affairs said that the increase and the time of application have been agreed upon by the National Wage Council based on negotiation between the parties. The Vietnam Textile and Apparel Association also has representatives participating in the council.

The 7.8% increase is calculated based on many factors such as the minimum living standard of workers and families, wage level in the market, consumer price index, economic growth rate and solvency of businesses.

During the comment process, some agencies suggested continuing to carefully evaluate the impact. The Ministry of Ethnic Affairs and Religion believes that the minimum wage needs to be adjusted closer to the minimum living standard of workers, while taking into account price fluctuations and living costs.

The Ministry of Agriculture and Environment proposed to further evaluate the ability to pay, the costs incurred by businesses as well as the minimum living standards of workers and their families.

Pressure on living costs continues to increase this year. In the first six months of 2026, average CPI increased by 4.38% over the same period; Housing, electricity, water, fuel and construction materials increased by more than 6.7%, of which house rent increased by 6.3%.

A survey of about 2,000 workers at nearly 200 enterprises in 7 provinces and cities by the Vietnam Trade Union in March-April also showed that salaries significantly affect workers' long-term decisions. 55% of single workers polled said salary is the main reason why they are not married, while 73% of married people said their current income affects their plans to have more children.