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Weekly Update Nov 26: VN Business Forum, Governors’ Ball, Annual General Meeting

Highlights

Sa, Dec 1 AmCham Scholarship Award Ceremony
Mo, Dec 3 Vietnam Business Forum
Fr, Dec 7 Roundtable • Direct Selling in Vietnam
Sa, Dec 8 AmCham Governors’ Ball • Christmas in San Francisco
Tu Dec 11 Annual General Meeting and Members’ Night
Sa, Dec 15 Application Deadline for VN and U.S. Professionals Fellowships
Sa, Feb 9 – Su, Feb 17 TET Lunar New Year Holidays • 9 days • Plan ahead …
Vietnam – U.S. Trade Status and Outlook, 2012 – 2015e
Highlights from the FCPA Resource Guide (Department of Justice • SEC)
CBP Global Entry Trusted Traveler • TSA Pre-Check Security Screening
Rampant corruption in Vietnam: #1 Concern of Vietnamese Citizens
SOEs going unchecked … ; no one is in charge …
Private sector minimum wage adjustment for 2013: Still no decision … ?
U.S. textile and apparel Imports down
New AmCham Companies – 2012

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Weekly Update Nov 19: Thanksgiving Golf, VN Business Forum, Governors’ Ball, Annual General Meeting

Highlights

Th, Nov 22 AmCham Thanksgiving Golf Tournament
Mo, Dec 3 Vietnam Business Forum
Fr, Dec 7 Roundtable • Direct Selling in Vietnam
Sa, Dec 8 AmCham Governors’ Ball • Christmas in San Francisco
Tu Dec 11 Annual General Meeting and Members’ Night
Sa, Dec 15 VN and U.S. Professionals Fellowships: Application Deadline
Sa-Fr, Feb 9-15 TET Lunar New Year Holidays • Plan ahead …
Highlights from the FCPA Resource Guide (Department of Justice • SEC)
CBP Global Entry Trusted Traveler • TSA Pre-Check Security Screening
VCCI Chairman: Reduce taxes and have a stable wage roadmap
Private sector minimum wage Adjustment for 2013: 15%?
New AmCham Companies – 2012

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Weekly Update Nov 12: Global Antitrust Enforcement, Members Night, Thanksgiving Golf

Highlights

Highlights from the FCPA Resource Guide (Department of Justice • SEC)
CBP Global Entry Trusted Traveler • TSA Pre-Check Security Screening
Candidates for Election to the Board of Governors
Mo, Nov 12 Members Lunch: Global Antitrust Enforcement – More Authorities, Increased Coordination, Higher Stakes
Tu, Nov 13 Members Night and Meet the Candidates
Th, Nov 22 AmCham Thanksgiving Golf Tournament
Sa, Nov 24 Seeking volunteers to interview AmCham Scholarship Candidates
Mo, Dec 3 Vietnam Business Forum
Sa, Dec 8 AmCham Governors’ Ball • Christmas in San Francisco
Tu Dec 11 Annual General Meeting and Members’ Night
Sa, Dec 15 VN and U.S. Professionals Fellowships: Application Deadline
Sa-Fr, Feb 9-15 TET Lunar New Year Holidays • Plan ahead …
VCCI Chairman: Reduce taxes and have a stable wage roadmap
Private sector minimum wage Adjustment for 2013: 15%?
State sector minimum wage increase reduced to 9.5% percent, delayed two months
Vietnam Tech Exports Overtaking Garments; Eases Trade Gap
U.S. Visa Procedures for Business Travel to the USA
No signs of recovery in the real estate sector: the mood is toxic
New AmCham Companies – 2012
Party Secretary Remarks at Closing of Party Central Committee 6th Plenum

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State sector minimum wage increase reduced from 24% to 9.5% percent, delayed two months

HANOI, Nov 1, 2012. The Government has committed to raise the state sector minimum wage by VND100,000 instead of VND250,000 as scheduled in July 2013, said Minister of Finance Vuong Dinh Hue at a session of the National Assembly (NA) meeting on Wednesday.

Thus, the state sector minimum wage will be increased from the current VND1.05 million/month to VND1.15 million, instead of VND1.3 million as originally planned.

The effective date would be from July 1 instead of May 1 as planned earlier.

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Weekly Update Oct 29: Typhoon Drenches Hanoi, Visa Workshop, Global Antitrust, Members Night

Highlights

Th, Nov 1 U.S. Visas Procedures Workshop
Tropical Storm Son-Tinh Drenches Hanoi
Seeking volunteers to interview AmCham Scholarship Candidates
Tu, Nov 6, U.S. General Elections Day • U.S. Voter Registration Web Sites
Nov 11-17 Infrastructure Trade Mission: HCM City, Hanoi, Jakarta
Mo, Nov 12 Members Lunch: Global Antitrust Enforcement – More Authorities, Increased Coordination, Higher Stakes
Tu, Nov 13 Members Night and Meet the Candidates
We, Nov 14 U.S. – Myanmar Business Summit, Yangon
Th, Nov 22 AmCham’s Thanksgiving Golf Tournament and Dinner
Sa, Nov 24 Seeking volunteers to interview AmCham Scholarship Candidates
Sa, Dec 8 AmCham Governors’ Ball • Christmas in San Francisco
Tu Dec 11 Annual General Meeting and Members’ Night
AmCham’s International Coastal Cleanup in the News
Vietnam’s Economic Development Outlook Update, Oct 3, 2012 (ADB)
Vietnam’s Consumer Trends 2012: “We have yet to hit the bottom.”
U.S. Textile Manufacturing, Vietnam, and the TPP Negotiations
New AmCham Companies – 2012
Coca-Cola to invest $ 300 million more in Vietnam
Party Secretary Remarks at Closing of Party Central Committee 6th Plenum
Ca Mau gas, power, fertilizer complex inaugurated
National Assembly may postpone state workers’ minimum wage increase

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“Labour Code backs wage increase,” Vice Chairman, National Assembly Social Affairs Committee

(VNS)Wages will rise under a revised Labour Code. Bui Sy Loi, vice-chairman of the National Assembly Committee on Social Affairs, told Thoi bao Kinh te Viet Nam (Vietnam Economics Times) how living standards will improve.

The revised Labour Code will take effect next May, but what are your thoughts on the existing minimum wage?

I have to say with the existing minimum wage, a worker can only afford to cover 60 per cent of their daily expenses. Despite the meagre wage, workers still have to pay part of their income to cover social insurance. If such a system continues, sooner or later our social security system will go bankrupt. That’s why it is high time for us to raise the miminum wage and to dispel the myth that anything above the “nominative” salary is a “bonus”.

Under the revised Labour Code, the minimum wage earner will be able to cover the daily living requirements of themselves and their family members.

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National Assembly may postpone state sector minimum wage increase

Oct 29, 2012. The Government is likely to delay its planned increase of the minimum wage next May due to shrinking State budget revenues.

Despite planning to increase the minimum wage from VND1.05 million (US$50.5) per month to VND1.3 million ($62.5) in May next year, deputies at a National Assembly meeting last week proposed delaying the increase.

The move will affect seven million people on the State payroll, as well as retired people.

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Wage hikes exceed inflation: TalentNet/Mercer Survey

HCMC, Oct 7, 2012. Wage hikes are higher than inflation in 2012, contrary to the situation last year, according to a survey conducted by the human resource service provider Mercer and its representative in Vietnam, Talentnet Corporation.

Hoa Nguyen, head of Mercer remuneration surveys and HR consulting services at Talentnet, said the average salary increase this year is over 13%, higher than the inflation forecast at 9.5%.

In particular, multinational companies increased their wages by 13%, while the average pay hike at local firms is 13.3%, says the 2012 Mercer Total Remuneration Survey.

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Minimum Wage adjustment (increase) spooks many enterprises

Pham Minh Huan, VM of MoLISAVIR, Aug 27 – Sep 2, 2012. While some enterprises are unhappy about the minimum wage hike proposal, Deputy Minister of Labour, Invalids and Social Affairs Pham Minh Huan says his ministry (MoLISA) is determined to raise salaries to improve workers’ living standards.

Enterprises said raising salaries now, under MoLISA’s increased minimum wage proposal to take effect from January 1, 2013, will make them go bankrupt. Is that true?

“Raising salaries as planned will mean by 2015, the minimum wage will meet the employees’ minimum living standards. Currently, the minimum wage just meets about 60-65 per cent of a need of the minimum living standards.

“We understand enterprises’ difficulties and there are two proposed options to increase minimum wages. The lower option aims to share difficulties and ease burdens with businesses in the context of crisis. The proposed hike was calculated based on consumer price index (CPI), wage and payment levels, as well as enterprises’ financial abilities.”

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Manufacturing is Expected to Return to America as Rising Labor Costs Erase Savings from Offshoring

CHICAGO, May 5, 2011—Within the next five years, the United States is expected to experience a manufacturing renaissance as the wage gap with China shrinks and certain U.S. states become some of the cheapest locations for manufacturing in the developed world, according to a new analysis by The Boston Consulting Group (BCG).

With Chinese wages rising at about 17 percent per year and the value of the yuan continuing to increase, the gap between U.S. and Chinese wages is narrowing rapidly. Meanwhile, flexible work rules and a host of government incentives are making many states, including Mississippi, South Carolina, and Alabama, increasingly competitive as low-cost bases for supplying the U.S. market.

“All over China, wages are climbing at 15 to 20 percent a year because of the supply-and-demand imbalance for skilled labor,” said Harold L. Sirkin, a BCG senior partner. “We expect net labor costs for manufacturing in China and the U.S. to converge by around 2015. As a result of the changing economics, you’re going to see a lot more products ‘Made in the USA’ in the next five years.”

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