Vietnam Salary & Hiring Outlook 2027: What Employers Should Budget for Now

Many employers in Vietnam will sign off their 2027 salary and hiring budgets in the next few weeks, before every number is final. The 2027 minimum wage increase has been agreed by the National Wage Council but, at the time of writing, still awaits a Government decree. Tet falls in early February. And salary expectations kept rising through 2026.

The practical answer is to budget in layers rather than apply one company-wide percentage. Start with the costs you can already calculate, then add separate pools for pay reviews, hard-to-fill hires, Tet-period cash flow and recruitment. This article explains each layer, what the evidence shows so far, and which questions to answer before you finalise your 2027 numbers.

Key numbers for 2027 budget planning 7.8%: average regional minimum wage increase agreed by the National Wage Council on 16 July 2026, proposed to take effect from 1 January 2027 (Region I: VND 5.31 million to VND 5.70 million per month). Still a draft decree at the time of writing. 21.5%: standard employer contribution rate for social, health and unemployment insurance for applicable Vietnamese employees in 2026, subject to contribution bases, ceilings and exceptions. 73%: of 57 employers in Reeracoen Vietnam's Hiring Market 2026 survey had implemented salary increases in 2026. 50%: of those employers set pay using internal salary structures only; 39% actively benchmark against market rates. VND 9.2 million: national average monthly income of workers in Q3 2026, up 9.9% year on year (National Statistics Office).

What is confirmed for 2027, and what is not

Good budgets separate facts from assumptions. As of mid-October 2026, this is where the main cost drivers stand:

Cost driver	Status (mid-October 2026)	What it means for your budget
Regional minimum wage	Proposal only: the National Wage Council agreed to recommend an average 7.8% rise from 1 January 2027. The Ministry of Home Affairs has prepared a draft decree; the Government has not yet issued it.	Model the proposed rates now and confirm once an enacted decree is issued.
Insurance contributions	Standard employer rate of 21.5% for applicable Vietnamese employees under current law, subject to contribution bases, ceilings and exceptions.	Salary increases can also raise insurance cost, depending on the contribution salary and the statutory ceilings.
Tet 2027	Lunar New Year's Day falls on Saturday, 6 February 2027.	Any Tet bonus or 13th-month payment will fall early in the year. Plan Q1 cash flow.
Market pay movement in 2027	No official forecast. Reeracoen survey data measures 2026 behaviour and plans.	Benchmark by role instead of rolling forward last year's percentage.
Hiring demand in 2027	Available data covers H1 2026 results and H2 2026 plans only.	Build scenarios for headcount, and review them each quarter.

Five budget lines to cost now

Budget line: the statutory floor

The National Wage Council, which brings together Government, employer and worker representatives, agreed on 16 July 2026 to recommend an average 7.8% increase in regional minimum wages from 1 January 2027. The proposed monthly rates are:

Region	Current rate (Decree 293/2025/NĐ-CP, effective 1 January 2026)	Proposed rate (from 1 January 2027, pending Government decree)
Region I	VND 5.31 million	VND 5.70 million
Region II	VND 4.73 million	VND 5.08 million
Region III	VND 4.14 million	VND 4.45 million
Region IV	VND 3.70 million	VND 4.04 million

These are proposed figures, not enacted rates. The draft decree also proposes moving some wards and communes into a higher region, so check the classification of each of your sites once the decree is issued.

Two practical points matter for employers:

• Insurance sits on top of salary. For applicable Vietnamese employees, the standard employer contribution is 21.5% of the contribution salary, subject to the relevant contribution bases, ceilings and exceptions: 14% to the retirement and survivorship fund, 3% to sickness and maternity, 0.5% to occupational accident and disease, 1% to unemployment insurance and 3% to health insurance. A pay rise can therefore cost more than its headline amount.
• The floor affects more than entry-level pay. Based on Reeracoen's observations, when the lowest rates rise, the gap between new joiners and experienced frontline staff can narrow. Check whether your pay bands for operators, technicians and supervisors still reward experience. This matters in manufacturing, where employers in our Hiring Market 2026 survey ranked operational and factory roles as the hardest to fill.

Budget line: the pay review pool for current employees

Most employers raised pay in 2026. In the Hiring Market 2026 survey (57 employers, May to June 2026), 73% had implemented salary increases. Yet half (50%) set compensation using internal salary structures only, and just 39% actively benchmark against market rates.

Pressure is unlikely to disappear on its own. In Vietnam Employer Hiring Study 2026 (51 employers, March 2026), 86% named rising salary expectations as a top hiring challenge, and 33% chose salary competition as their single biggest retention risk. At national level, the National Statistics Office reported that average monthly income across all workers reached VND 9.2 million in Q3 2026, up 9.9% year on year. That figure covers the whole workforce, including agriculture, so treat it as context rather than a benchmark for professional roles.

What this means for 2027 budgets:

• Do not roll forward last year's increase as a single company-wide figure.
• Group roles by business impact and market pressure, and fund them differently.
• Benchmark critical roles before the pool is fixed. The Hiring Market 2026 report recommends reviewing these roles at least every six months, not only at the annual review.

Budget line: new-hire premiums for hard-to-fill roles

New hires can cost more than existing employees in similar roles, particularly where market rates have moved faster than internal pay. In the Employer Hiring Study 2026, 84% of employers expected salaries for new hires to rise in 2026. The roles they found hardest to fill were manufacturing engineers (35%), sales and business development (35%), factory supervisors (33%) and IT and AI specialists (31%).

The type of hiring is also changing. In the Hiring Market 2026 survey, business expansion (30%) was expected to overtake vacancy replacement (21%) as the main reason for hiring in H2 2026. Growth roles are often harder to fill and slower to close.

Rather than spreading a small premium across every vacancy, consider ring-fencing a separate premium pool for a short list of named roles. Agree approval limits in advance so hiring managers can make a competitive offer quickly. Also allow for candidates who join in December or January and may lose a Tet bonus at their current employer. Start-date flexibility or a one-off payment can matter more than a higher base salary in these cases.

Budget line: Tet-period cash flow

With Lunar New Year's Day on 6 February 2027, Tet-related payments will fall in the first weeks of the year, close to the date the new minimum wage is proposed to apply. Under the Labour Code 2019, bonuses follow each employer's own bonus rules, so the size and timing of any Tet bonus or 13th-month payment depend on your policy and contracts.

For context, the Ministry of Home Affairs reported that the average Tet 2026 bonus was about VND 8.69 million per employee, up 13% on the previous year, based on reports from more than 50,000 enterprises. Use this as a national reference point only, and model your own bonus commitments separately in your January and February cash flow.

Budget line: recruitment cost and time

Many employers plan to hire more without spending more on recruitment. In the Vietnam Employer Hiring Study 2026, 69% expected hiring to increase in 2026, but only 43% planned to raise their recruitment budget. In the Hiring Market 2026 survey, the share of employers using recruitment agencies was expected to rise from 51% in H1 to 61% in H2 2026, and 88% said they expect competitor salary and benefits benchmarks from their recruitment partner.

Budget for the roles that matter most, not for total headcount. Include realistic fees or sourcing costs for hard-to-fill positions, and set a target time from final interview to offer. Based on Reeracoen's observations, slow approvals are one of the most avoidable reasons employers lose strong candidates.

Your 2027 budget checklist

Budget line	Evidence to use	Question to answer before sign-off
Statutory floor	Final minimum wage decree; your site regions; insurance rates	Which employees and sites are affected, and what is the full cost including insurance?
Pay review pool	Role-level market benchmarks; your own turnover data	Which roles are below market, and which are most critical to retain?
New-hire premiums	Hard-to-fill role list; recent offer outcomes	Which named roles need a premium, and who can approve it quickly?
Tet-period cash flow	Your bonus rules and contracts	What will be paid in January and February 2027, and when?
Recruitment cost and time	Hiring plan by quarter; channel results	Which roles need specialist support, and what is our target time to offer?

For role-by-role salary ranges, use Reeracoen Vietnam's Vietnam Salary & Hiring Guide 2026/2027. The guide provides the benchmarks; this checklist helps you turn them into a budget.

Download the Salary Guide: Planning your 2027 hiring budget? Explore Reeracoen Vietnam’s Salary & Hiring Guide 2026/2027 for salary benchmarks and market insights to support your compensation and workforce planning.

[Vietnam Salary & Hiring Guide 2026/2027]

Planning your 2027 salary and hiring budget? Reeracoen Vietnam's consultants can benchmark your critical roles, test your hiring plan against current market conditions and help you secure hard-to-fill talent across manufacturing, IT, finance and other sectors. [Register as a candidate]

Professionals: planning your next move in 2027? Register with Reeracoen Vietnam to hear about roles that match your skills and to get a clearer view of what employers are looking for. [Register as a candidate]

Frequently asked questions

How much will Vietnam's minimum wage increase in 2027?

This is still a proposal. The National Wage Council agreed on 16 July 2026 to recommend an average increase of 7.8% from 1 January 2027. Under the proposal, the Region I monthly minimum wage would rise from VND 5.31 million to VND 5.70 million. The increase takes effect only once the Government issues the decree, so confirm the final rates before you lock your budget.

How much do employers pay in social insurance in Vietnam?

For applicable Vietnamese employees, the standard employer contribution is 21.5% of the contribution salary. This covers social insurance (17.5% across retirement and survivorship, sickness and maternity, and occupational accident and disease), unemployment insurance (1%) and health insurance (3%). Employees contribute a further 10.5%. Contribution bases, ceilings and exceptions apply, so confirm the position for your workforce with your HR or legal adviser.

How much should employers budget for salary increases in 2027?

There is no single figure that fits every company. Budgets should reflect the proposed minimum wage increase, subject to the final Government decree, alongside insurance costs, how your current pay compares with the market for each role, and how many hard-to-fill positions you plan to hire. Benchmark critical roles first, then set separate pools for pay reviews and new hires.

How often should employers benchmark salaries in Vietnam?

Reeracoen Vietnam's Hiring Market 2026 report recommends benchmarking critical roles at least every six months rather than relying only on annual reviews. Half of the employers surveyed still set pay using internal salary structures alone.

Which roles are hardest to fill in Vietnam?

In Vietnam Employer Hiring Study 2026, employers most often named manufacturing engineers (35%), sales and business development (35%), factory supervisors (33%) and IT and AI specialists (31%). In the Hiring Market 2026 survey, operational and factory roles ranked as the hardest to fill, followed by sales and business development.

Related articles

• What HR Needs to Budget for 2026: Compensation Trends & Hiring Costs
• Salary Expectations in Vietnam Q2 2026: What Employers Must Budget for Mid-Year Hires
• Manufacturing and Semiconductor Salary Benchmarks Vietnam: The Data Employers Need to Stay Competitive

About the author

Valerie Ong

Regional Head of Marketing, Reeracoen Group

Valerie leads content and market insights for Reeracoen across Asia. She works closely with Reeracoen's specialist recruitment consultants to translate hiring data, salary benchmarks and labour market trends into practical guidance for Vietnam's employers and professionals. Her work draws on Reeracoen's proprietary research including the annual Salary Guide, Hiring Pulse, and Hiring Manager Survey.

Language note: This article is published in English. Reeracoen Vietnam also publishes selected content in Vietnamese and Japanese for our local professional community.

References

1. Reeracoen Vietnam, Vietnam Employer Hiring Study 2026 (51 employers, March 2026).
2. National Assembly newspaper (Báo Đại biểu Nhân dân), "Hội đồng Tiền lương quốc gia thống nhất tăng lương tối thiểu vùng 7,8% từ 2027", 16 July 2026. https://daibieunhandan.vn/hoi-dong-tien-luong-quoc-gia-thong-nhat-tang-luong-toi-thieu-vung-7-8-tu-2027-10423854.html
3. Thanh Nien, "Đề xuất tăng lương tối thiểu từ 1.1.2027" (Ministry of Home Affairs draft decree under appraisal), 23 September 2026. https://thanhnien.vn/de-xuat-tang-luong-toi-thieu-tu-112027-185260923124847902.htm
4. National Law Portal (Cổng Pháp luật quốc gia), "Đề xuất tăng lương tối thiểu vùng 7,8% từ 1/1/2027 và điều chỉnh địa bàn áp dụng" (also published by VietnamPlus, 22 July 2026: https://www.vietnamplus.vn/de-xuat-tang-luong-toi-thieu-vung-78-tu-112027-va-dieu-chinh-dia-ban-ap-dung-post1125674.vnp). https://phapluat.gov.vn/tin-tuc/de-xuat-tang-luong-toi-thieu-vung-7-8-tu-1-1-2027-va-dieu-chinh-dia-ban-ap-dung
5. Government Portal, Policy Development, "Nghị định số 293/2025/NĐ-CP: Quy định mức lương tối thiểu" (decree issued 10 November 2025, effective 1 January 2026). https://xaydungchinhsach.chinhphu.vn/nghi-dinh-so-293-2025-nd-cp-quy-dinh-muc-luong-toi-thieu-doi-voi-nguoi-lao-dong-lam-viec-theo-hop-dong-lao-dong-119251110172808433.htm
6. LuatVietnam, "Tỷ lệ đóng BHXH năm 2026 của doanh nghiệp và người lao động" (summary of Law on Social Insurance No. 41/2024/QH15, Articles 32 to 34), 28 January 2026. https://luatvietnam.vn/bao-hiem/ty-le-dong-bhxh-cua-doanh-nghiep-va-nguoi-lao-dong-563-100379-article.html
7. National Statistics Office (Ministry of Finance), "Những tín hiệu tích cực của thị trường lao động trong 9 tháng năm 2026", 12 October 2026. https://www.nso.gov.vn/tin-tuc-khac/2026/10/nhung-tin-hieu-tich-cuc-cua-thi-truong-lao-dong-trong-9-thang-nam-2026/
8. Government Electronic Newspaper (Báo Điện tử Chính phủ), "Thưởng Tết Nguyên đán 2026 tăng 13%, thu nhập người lao động cải thiện", 4 February 2026. https://baochinhphu.vn/thuong-tet-nguyen-dan-2026-tang-13-thu-nhap-nguoi-lao-dong-cai-thien-102260204184954001.htm
9. Lao Cai Newspaper, "Bộ Nội vụ thông báo chi tiết lịch nghỉ Tết Âm lịch, Quốc khánh 2027", 10 October 2026. https://baolaocai.vn/bo-noi-vu-thong-bao-chi-tiet-lich-nghi-tet-am-lich-quoc-khanh-2027-post911561.html
10. Labour Code No. 45/2019/QH14 (Article 104 on bonuses), full text. https://thuvienphapluat.vn/van-ban/Lao-dong-Tien-luong/Bo-Luat-lao-dong-2019-333670.aspx

 

Disclaimer

This article provides general information only and is not legal, tax or financial advice. Minimum wage figures for 2027 are proposals until the Government issues the relevant decree. Insurance contribution rules vary by employee category and circumstances. Reeracoen survey findings are directional and reflect the stated respondent groups and survey periods. Information is accurate as of the date of publication.