Average salary in Vietnam [Updated 2024]

One of the key resources that helps businesses compete in any country's market is a skilled workforce. Therefore, understanding the average salary in Vietnam in 2024 is essential for organizations to ensure that their employee salaries remain competitive and attractive in today's labor market. This information helps them adjust their compensation strategies, ensuring that they can attract and retain talented employees amidst fierce competition, thereby enabling them to thrive and succeed in the Vietnamese labor market.

Understanding the average salary in Vietnam is important for gaining insight into the market

Overview of the average salary in Vietnam

In the dynamic landscape of Vietnam's economy, understanding the average salary in Vietnam in 2024 becomes pivotal for both employers and employees alike. Let's delve into the intricacies of the average salary in Vietnam in 2024, according to the General Statistics Office’s report.

Monthly average salary

The first quarter of 2024 witnessed a notable rise in the monthly average salary in Vietnam. Clocking in at 7,600,000 VND, this figure represents an increase of 301,000 VND compared to the previous quarter and 549,000 VND compared to the same period last year. This positive trend indicates a promising trajectory for the country's workforce.

Maximum and minimum wage

Ensuring fair compensation for workers is imperative, and Vietnam's government has laid down clear guidelines regarding minimum wage standards. As per Government Decree No. 38/2022/ND-CP dated June 12, 2022, the minimum wage for laborers under labor contracts is specified.

The minimum wage applies to various categories, including employees under labor contracts as per the Labor Code, as well as employers defined by the Labor Code, such as enterprises, organizations, cooperatives, households, individuals and other relevant entities involved in employing laborers.

The minimum basic salary in basic salary in Vietnam across different regions, is categorized into four zones:

• Zone I (urban Ho Chi Minh City and Hanoi): 4,680,000 VND per month, or 22,500 VND per hour for a part-time job salary in Vietnam.

• Zone II (rural areas of Hanoi and Ho Chi Minh, the cities of Da Nang, Can Tho, and Haiphong): 4,160,000 VND per month, or 20,000 VND per hour for a part-time job.

• Zone III (Bac Giang, Bac Ninh, Hai Duong, and Vinh Phuc provinces): 3,640,000 VND per month, or 17,500 VND per hour for a part-time job.

• Zone IV (other remaining areas): 3,250,000 VND per month, or 15,600 VND per hour for a part-time job.

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The maximum average salary in Vietnam currently reaches up to 76.9 million VND. However, this disparity is influenced by factors such as industry, educational qualifications, and varied work environments across the country.

Gender wage gap

The gender wage gap in Vietnam mirrors global inequalities, with women earning 10-20% less on average than men. Factors include occupational segregation, workforce interruptions due to family responsibilities, educational gaps, biases in the workplace, and differing labor policies.

Initiatives promoting gender equality, legislative reforms, and educational campaigns aim to address and narrow this gap. Government actions, such as the Labour Code and the National Strategy for Gender Equality, highlight efforts to combat pay discrimination and empower women in salary negotiations.

However, the survey list below still reflects the actual wage disparity among Vietnamese workers.

Genders	Annual average salary in Vietnam for level manager
Men	548,301,250 VND
Women	405,693,750 VND

Source: averagesalarysurvey.com

Annual average Salary Growth in Vietnam 2024

Despite the challenges posed by various economic factors, the annual average salary in Vietnam has been on a positive trajectory. In the 1st quarter of 2024, the average income continued its upward trend, albeit at a slightly slower pace compared to the previous year. With a growth rate of 7.8% in the 1st quarter of 2024, compared to 10.0% in the same period in 2023, the country's workforce sees steady improvement in their earning potential.

The income of Vietnamese workers in 2024 shows positive growth

How does the average salary in Vietnam increase annually?

Typically, Vietnamese workers receive a 9% salary increase every 17 months, higher than the global average of 3% every 16 months. Two key factors influencing this rate of salary increase:

• Experience: In Vietnam, fresh graduates often start with lower salaries but are expected to incrementally increase based on their capabilities and experience over time. Therefore, fresh graduates and junior employees tend to receive higher annual salary increases compared to more experienced and older employees.
• Industry: Industries experiencing growth are more likely to offer larger and more frequent salary increases. However, Vietnam's economic situation also impacts salary increments.

Factors influencing the average salary in Vietnam

Several key factors influence levels of the average salary in Vietnam, reflecting economic and sociopolitical dynamics within the country:

• Economic region: Variances in economic activity, cost of living, and industrial presence across regions impact salary differences. Major cities like Ho Chi Minh City and Hanoi typically offer higher wages. Larger companies can offer higher salaries to attract talent.
• Industrial sector: Salaries vary by sector, with high-value industries such as technology offering more competitive wages than traditional sectors.
• Educational background and skills: Individuals with higher education and specialized skills command better pay. Fields like IT and digital marketing are in high demand.
• Experience level: Senior positions come with greater responsibility and higher pay.
• Foreign investment: Sectors with significant foreign investment often provide higher wages to attract skilled workers.
• Supply and demand: Job scarcity can drive up salaries, while oversaturation can suppress wage growth. In particular, jobs with high risk or demands may offer higher wages.
• Government policies: Minimum wage laws, taxation, and industry-specific incentives affect income levels.

The average Salary in Vietnam vs other countries

According to a report by ManpowerGroup at the end of 2022, the average salary in Vietnam is 275 USD, equivalent to approximately 6.5 million VND per month, significantly lower than the global average salary of 2,143 USD per month. Data from The World Data shows that the monthly average salary in Vietnam is 299 USD, compared to 591 USD in Thailand, 893 USD in Malaysia, and 990 USD in China. It is evident that Vietnam's basic salary ranks among the countries with the most competitive labor costs in Asia and Southeast Asia.

Characteristics of the Labor Market in Vietnam

Let's explore the intricate dynamics of Vietnam's labor market, understanding its pivotal role in economic growth and the challenges it faces:

• Development and stability: Vietnam's labor market has grown steadily since the 1986 Renovation policy.

• Increase in labor force: The workforce in Vietnam has surged from 32 million in 1990 to 56.15 million in 2022, particularly among those aged 15 to 39.

• Challenges from the COVID-19 pandemic: COVID-19 has led to higher unemployment rates and affected labor force participation in Vietnam.

• Low labor productivity: Despite more workers, labor productivity remains low due to a lack of skilled labor.

• Restructuring of the labor market: Government policies aim to improve vocational training and enhance labor quality.

• Shortage of specialized labor and Industry 4.0 impact: Vietnam grapples with a shortage of skilled labor, worsened by the impact of Industry 4.0, leading to a mismatch between the labor structure and real needs and hampering the country's competitiveness.

• Uneven distribution of labor: Labor distribution across regions and urban-rural areas is uneven, affecting supply and demand balance.

• An imbalance between economic sectors: Vietnam's focus on traditional sectors during FDI attraction has led to labor structure imbalances and reduced international competitiveness.

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Vietnam has a plentiful and diverse labor force

Comparing the average salary of Vietnamese individuals

The average salary in Vietnam varies depending on multiple criteria, including experience, educational attainment, job type, occupation, and location. Therefore, you should not be overly surprised by the wage disparities when working in Vietnam.

Level of experiences

In Vietnam, there is often a direct correlation between an employee's income and their years of experience. Typically, individuals with greater work experience command higher salaries. For instance, employees with over 20 years of experience generally earn significantly more than those who are new to their respective professions. However, it is noteworthy that individuals with 16-20 years of experience can earn more than those with over 20 years of experience.

Here is a comparison table of the average salary in Vietnam based on years of experience as recorded in 2024:

Years of experience	Annual average salary in Vietnam
16-20	826,140,000 VND
20+	688,450,000 VND
12-16	663,862,500 VND
8-12	624,522,500 VND
4-8	474,538,750 VND
2-4	327,013,750 VND
1-2	216,370,000 VND
0-1	174,571,250 VND

Source: averagesalarysurvey.com

Educational levels

Educational credentials are also a determining factor in shaping the salary levels of individuals. Individuals with advanced degrees like a Master’s or Doctorate typically command higher compensation compared to those with a high school diploma or a Bachelor’s degree.

Below is a list of the annual average salary in Vietnam based on educational attainment as surveyed in 2024:

Education levels	Annual average salary in Vietnam
Doctorate Degree	668,780,000 VND
Masters Degree	563,053,750 VND
Bachelors Degree	435,198,750 VND
High School	356,518,750 VND
Some College	341,766,250 VND
Bellow H. School	149,983,750 VND

Source: averagesalarysurvey.com

Work type

Full-time employees worldwide typically receive high salaries. However, over half (54.3%) of individuals in Vietnam often earn more than full-time employees. This is because these individuals are self-employed, and the government actively promotes entrepreneurial spirit through lower tax rates.

Here is how different income levels of the annual average salary in Vietnam vary based on employment types surveyed in 2024:

Work types	Annual average salary in Vietnam
Permanent	481,915,000 VND
Self-employed	464,703,750 VND
Contract	398,317,500 VND
Part-time	243,416,250 VND

Source: averagesalarysurvey.com

Business locations in cities

The business's location also plays a crucial role in determining employee salaries. Ho Chi Minh City (HCMC) is the best city to work in, followed by the capital, Hanoi.

Here is a list of average salaries in 2024 in the major cities of Vietnam:

Work places	Annual average salary in Vietnam
Ho Chi Minh City	474,538,750 VND
Others	472,080,000 VND
Da Nang	459,786,250 VND
Ha Noi	413,070,000 VND
Hai Phong	368,812,500 VND
Can Tho	216,370,000 VND

Source: averagesalarysurvey.com

Occupations with the highest salaries in Vietnam

Each profession in Vietnam requires specific educational qualifications, field of study, and candidate experience. Therefore, the average salaries across different sectors vary significantly. Below is a list of the annual average salary in Vietnam for some common professions:

Work types	Annual average salary in Vietnam
Construction Project Manager	1,153,153,750 VND
Director	1,126,107,500 VND
CEO	993,335,000 VND
Lawyer	850,727,500 VND
Hotel Manager	772,047,500 VND
Engineering Manager	730,248,750 VND
Restaurant Manager	703,202,500 VND
Logistics Manager	649,110,000 VND
IT Manager	629,440,000 VND
Finance Manager	622,063,750 VND
Sales Manager	617,146,250 VND
Human Resources Manager	577,806,250 VND
Technical Manager	526,172,500 VND
Account Manager	479,456,250 VND
Marketing	472,080,000 VND
Architect	386,023,750 VND
Software Engineer	371,271,250 VND
Software Developer	346,683,750 VND
Banks	327,013,750 VND
Sales Executives	297,508,750 VND
Engineer	270,462,500 VND
Human Resource	238,498,750 VND
Salesmen or Saleswomen	233,581,250 VND
Graphic Designer	186,865,000 VND
Accountant	172,112,500 VND
Lecturer	172,112,500 VND

Source: averagesalarysurvey.com

Average salary by industry

Compared to the same period last year, the average monthly income of workers in the first quarter of 2024 increased in all three economic sectors, with the service sector experiencing the highest growth rate. The average monthly income of workers in the service sector in the first quarter of this year was 9,000,000 VND, up 8.7%, equivalent to an increase of 724,000 VND compared to the same period last year; in the agriculture, forestry, and fisheries sector, it was 4,400,000 VND, up 8.3%, with an increase of 338,000 VND; and in the industry and construction sector, it was 8,400,000 million VND, up 5.9%, corresponding to an increase of 471,000 VND.

More specifically, below are some trends in the average salary in Vietnam by Industry:

• Real estate business activities: The average monthly income in Q1/2024 is 12.1 million VND, a 15.3% increase compared to the same period last year.
• Production and distribution of electricity, gas, hot water, and steam: The average monthly income in Q1/2024 is 11.1 million VND, a 12.7% increase compared to the same period last year.
• Financial activities, banking, and insurance: The average monthly income in Q1/2024 is 13.1 million VND, a 12.7% increase compared to the same period last year.
• Accommodation and food services: The average monthly income in Q1/2024 is 7.3 million VND, a 9.3% increase compared to the same period last year.
• Warehousing and transportation: The average monthly income in Q1/2024 is 10.5 million VND, a 9.2% increase compared to the same period last year.

It's worth noting that male workers generally earn higher average salaries than female workers and urban workers typically earn higher average salaries than rural workers.

Regional administrative salary

Here is a table showing the average salaries in the first quarter from 2022 to 2024 across different regions in Vietnam:

Region	Q1 2022 salary	Q1 2023 salary	Q1 2024 salary
Northern Midlands and Mountainous Region	4,800,000 VND	5,100,000 VND	5,700,000 VND
Red River Delta	7,400,000 VND	8,300,000 VND	8,900,000 VND
North Central Coast and Central Coast	5,500,000 VND	6,200,000 VND	6,600,000 VND
Central Highlands	4,600,000 VND	5,000,000 VND	5,600,000 VND
Southeast Region	8,300,000 VND	8,900,000 VND	9,500,000 VND
Mekong River Delta	5,600,000 VND	6,400,000 VND	6,900,000 VND

Source: gso.gov.vn

In the first quarter of 2024, the average salaries across different regions of Vietnam varied significantly. The highest average salary was observed in the Southeast region at 9,500,000 VND, followed by the Red River Delta at 8,900,000 VND. These regions typically have higher economic activity and attract more investment, leading to higher wages. Conversely, the lowest average salary was recorded in the Northern Midlands and Mountainous areas at 5,700,000 VND, which can be attributed to factors such as lower levels of industrialization and economic development.

Comparing the average salaries in the first quarter of 2024 with those of the previous year (2023), we can observe varying growth rates across regions. The Southeast region experienced a significant increase of 7.8%, from 8,900,000 VND in 2023 to 9,500,000 VND in 2024. Similarly, the Red River Delta saw a notable growth of 7.5%, reflecting the region's strong economic performance. Meanwhile, the Central Highlands region had a relatively modest growth rate of 4.3%, from 5,600,000 VND to 5,800,000 VND. Other regions such as the North Central Coast and the Central Coast also showed moderate increases, while the Northern Midlands and Mountainous areas recorded the lowest growth rate of 3.5%. Overall, these growth rates reflect the varying economic dynamics and development trajectories across different regions of Vietnam.

A A A bar chart illustrating the average salary in the first quarter of the recent years for each region

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Other components of salaries in Vietnam

In addition to the Vietnam basic salary, workers in Vietnam can augment their earnings through various supplementary allowances and bonuses. These additional components play a significant role in enhancing overall compensation and motivating employees.

Overtime pay

Overtime pay is compensation for the extra hours worked beyond regular working hours. In Vietnam, employees are entitled to different rates of pay depending on when they work overtime. For instance, on regular working days, workers receive 170% of their hourly wage for overtime hours. On weekly rest days, this rate increases to 220%, and on public holidays, employees can earn up to 350% of their regular wage.

The The overtime pay rates described for Vietnam can be considered relatively high

Holiday pay

Holiday pay is granted to employees who work during official holidays, such as the Lunar New Year in Vietnam. During the Lunar New Year 2024, workers received a minimum of 300% of their regular wage, excluding additional benefits for holidays, Lunar New Year, or other paid days off. Those who work on public holidays are eligible for extra compensation, ensuring that employees are adequately rewarded for their dedication during festive seasons.

Performance and revenue-based bonuses

Performance and revenue-based bonuses vary depending on the company's policies and performance evaluation criteria. These bonuses serve as incentives for employees to achieve individual and organizational goals, encouraging productivity and commitment to excellence.

13th-month salary

The 13th-month salary is a common practice in Vietnam, wherein employees receive an additional month's pay as a year-end bonus. Employees who have worked for the entire year are entitled to a bonus equivalent to their average monthly salary for the past 12 months. For those who haven't completed a full year, the bonus is prorated based on the number of months worked.

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The 13th-month salary motivates employees to work harder

 

Lunar New Year bonuses

Lunar New Year bonuses, often referred to as Lunar New Year bonuses, are discretionary bonuses given by companies to their employees during the Lunar New Year holiday. The amount and distribution of Lunar New Year bonuses vary from one company to another and are often influenced by factors such as company performance and budget allocation.

Allowances and other benefits

Apart from bonuses, employees may receive various allowances and benefits, including incentives for working under specific conditions or fulfilling certain job requirements. These may include sick leave allowances, maternity benefits, retirement benefits, accident and occupational disease allowances, as well as severance pay and unemployment benefits.

Based on the information provided in the article, it is evident that the labor market in Vietnam is highly diverse and complex. This poses a significant challenge for businesses, especially foreign enterprises, looking to enter this market. Therefore, a recruitment agency partner like Aniday is indispensable in helping businesses select quality labor.

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In conclusion, the average salary in Vietnam reflects a dynamic and evolving labor market. Despite challenges, Vietnam remains an attractive destination for businesses seeking to tap into its growing workforce. However, navigating this complex landscape requires expertise and local knowledge, making recruitment agencies like Aniday invaluable partners for businesses aiming to thrive in Vietnam's labor market. Contact Aniday today to gain access to top-quality labor and streamline your recruitment process!

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