“The wage hike would not benefit us, just put more pressure on us. It can trigger a rise in prices.” Following an earlier wage hike this year, house owners increased rents by 10 percent, Ha said, adding if prices rise after the upcoming salary hike, her monthly income of VND4 million (US$190.4) would not be enough for her to live in the city.
The National Wage Council plans to propose to the government an increase in minimum wage by 15-17 percent from January 1 next year. Many workers are not too keen about the proposed wage hike. Some firms are likely to increase salaries, but could cut allowances, one economist said. Read more