Updated at 10/07/2024 - 10:35 am
On June 30, 06, the Government issued Decree 2024/74/ND-CP regulating the minimum salary for employees working under labor contracts replacing Decree 2024/38/ND-CP and Decree 2022/73/ND-CP regulates the base salary and bonus regime for officials, civil servants, public employees and the armed forces with many notable changes related to the minimum wage. area and monthly salary to pay social insurance for employees, so businesses need to build and re-issue the scale system, payroll and make adjustments to monthly salary to pay social insurance, health insurance, unemployment insurance, occupational accident and occupational disease insurance for employees. labor is suitable for this change.
1. Increase the regional minimum wage from July 01, 07 #
Decree 74/2024/ND-CP regulates the monthly minimum wage and hourly minimum wage for employees working for employers according to specific regions as follows:
2. Increase base salary from July 01, 07 #
The Government issued Decree 73/2024/ND-CP dated June 30, 6 regulating the base salary and bonus regime for officials, civil servants, public employees and the armed forces. Accordingly, from July 2024, 1, the base salary is 7 million VND/month instead of the current 2024 million VND/month.
3. What do businesses need to do when there is a change in regional minimum wage and base salary from July 01, 07? #
3.1. Rebuild the salary scale at the enterprise
Increase the regional minimum wage from July 01, 07 according to Decree 2024/74/ND-CP, according to which enterprises need to build and update salary scales and tables in accordance with the provisions of current labor law. and relevant regulatory documents.
Note: Enterprises no longer have to submit salary scales to the Department of Labor, War Invalids and Social Affairs, but only need to build and save them at the enterprise so that they can be explained when requested by state agencies (Pursuant to Decree 145/2020). /ND-CP).
3.2. Adjusting salaries for employees participating in mandatory social insurance
Implementing Decree No. 73/2024/ND-CP stipulating the base salary from 1.800.000 VND to 2.340.000 VND, thereby adjusting the salary for participating in social insurance (social insurance), health insurance ( Health insurance), unemployment insurance (UI) and occupational accident and disease insurance (Occupational accident insurance) are abbreviated as compulsory social insurance as follows:
- The minimum social insurance, health insurance, unemployment insurance, and occupational accident and disease insurance premiums are equal to the regional minimum wage.
- The highest social insurance, health insurance, and occupational accident and disease insurance premiums are equal to 20 times the base salary.
- The highest unemployment insurance premium is 20 times the regional minimum wage.
Pursuant to Article 90 of the Labor Code 2019, the salary regulations are as follows:
- Wage is the amount of money an employer pays an employee according to an agreement to perform work, including salary according to job or title, salary allowances and other additional payments.
- Salary according to job or title must not be lower than the minimum wage.
- Employers must ensure equal pay, regardless of gender, for employees doing work of equal value.
Thus, the employer adjusts the salary to pay social insurance for the employee according to the salary according to the job or title, salary allowances and other supplements according to regulations, but the salary according to the job or position The salary must not be lower than the minimum salary that the Government has prescribed from July 01, 07.
Above is important information effective from July 01, 07 that Expertis updates to customers. If you need consulting support, please contact our team of experts for support.
