Following on from the recently announced increase in the VAT rate to 15%, the Government has also approved an increase in the minimum wage from VT170 per hour to VT200 per hour effective 1 January 2018. Employers are advised to review and adjust staff salaries if required. A summary of the impact of the increase is shown below.
|Full-time employee||40 hours per week||44 hours per week|
|Old monthly salary (gross):||VT29,467||VT32,414|
|New monthly salary (gross):||VT34,667||VT38,134|
The change represents a 17.64% wage increase to workers on the minimum wage. Employees earning more than the minimum wage are not affected.
Happy New Year to all workers!