Guangdong to Increase Minimum Wage by 19% on May 1

Industry news

Guangdong to Increase Minimum Wage by 19% on May 1

Guangdong will raise the minimum wage standards for employees from May 1 this year by an average of 19%, according to a notice issued by the provincial government. This is the first adjustment in two years since May 1, 2013 and the rate of 19% has taken into account the two-year gap. The four-tier schedule remains in force with Guangzhou the highest at Rmb 1,895 on a monthly basis while the corresponding part-timers' hourly minimum wage is Rmb 18.3. After the revision, the overall minimum wage level of Guangdong is among the highest in the country. A grace period of more than two months is granted to allow enterprises to adjust their production and operating cost estimations. The Guangdong Provincial Department of Human Resources and Social Security office will conduct a comprehensive inspection after the new minimum wage takes effect on May 1, to ensure that enterprises strictly comply with the new rates.