The prices of many consumer goods beganto rise even before the 12 percent hike in minimum wage announced by theGovernment took effect on May 1.
An expert from a market research company in HCM City, who wished toremain unnamed, said prices have risen by at least 5 percent inanticipation of the wage increase.
Under a decree issued on March 25, the minimum wage for employees inState agencies, the armed forces, political organizations,socio-political organizations, State-owned companies, and othergovernment bodies has gone up by 80,000 to 730,000 VND a month.
Allowances and other benefits will also increase proportionately.
But a few days earlier, in late April, the prices of vegetables shotup at most HCM City markets.
The owner of a vegetable shop in Thanh Da market in Binh Thanhdistrict said salad vegetables have doubled to 25,000 VND a kilogrammewhile tomatoes have gone up by half to 12,000 VND.
Nguyen Tan Tai, a worker at the Tan Thuan Export Processing Zone indistrict 7, said his house rent was set to go up to 850,000 VND monthfrom 600,000 VND.
Electricity and water charges followed suit, he said.
Nguyen Thi Sang, a retired worker living in Tan Binh district, saidher pension increased by 12.3 percent, or 200,000 VND a month, to morethan 2.2 million VND.
“With the additional amount, I cannot afford to pay the increase inthe prices of electricity, water, food and services,” Sang said.
Independent analysts said the 80,000 VND hike failed to keep pace withthe rising prices.
Since the beginning of the year the prices of many items have shot upby 20 percent.
According to the HM City Statistics Office, prices rose by 0.23percent to April and 4.02 percent so far this year./.
An expert from a market research company in HCM City, who wished toremain unnamed, said prices have risen by at least 5 percent inanticipation of the wage increase.
Under a decree issued on March 25, the minimum wage for employees inState agencies, the armed forces, political organizations,socio-political organizations, State-owned companies, and othergovernment bodies has gone up by 80,000 to 730,000 VND a month.
Allowances and other benefits will also increase proportionately.
But a few days earlier, in late April, the prices of vegetables shotup at most HCM City markets.
The owner of a vegetable shop in Thanh Da market in Binh Thanhdistrict said salad vegetables have doubled to 25,000 VND a kilogrammewhile tomatoes have gone up by half to 12,000 VND.
Nguyen Tan Tai, a worker at the Tan Thuan Export Processing Zone indistrict 7, said his house rent was set to go up to 850,000 VND monthfrom 600,000 VND.
Electricity and water charges followed suit, he said.
Nguyen Thi Sang, a retired worker living in Tan Binh district, saidher pension increased by 12.3 percent, or 200,000 VND a month, to morethan 2.2 million VND.
“With the additional amount, I cannot afford to pay the increase inthe prices of electricity, water, food and services,” Sang said.
Independent analysts said the 80,000 VND hike failed to keep pace withthe rising prices.
Since the beginning of the year the prices of many items have shot upby 20 percent.
According to the HM City Statistics Office, prices rose by 0.23percent to April and 4.02 percent so far this year./.
