Demand for higher wages is the cause of 78 percent of all strikes at foreign-invested factories in Ho Chi Minh City and nearby provinces like Binh Duong and Dong Nai, according to statistics from the Vietnam General Confederation.

Laborers are paid VND600,000-1 million ($37-62) a month which is not enough to cover their daily expenses, leave alone send money back home, a major issue for many workers who  hail from poor rural families and seek to support their parents and siblings.

The other option available to them is cutting their expenditure on housing and food and work extra shifts, which puts their health at severe risk.

Vietnam’s low labor cost is a critical advantage in attracting foreign investment. But if the government fixes a low minimum wage - currently at some $37 – workers will go on strike all the time.

So, the government should only issue investment licenses to investors who seek other advantages in Vietnam rather than just low wages.

Written by Thanh Thao – Translated by Tuong Nhi