From July 1, 2024: 05 officials' incomes to be annulled after salary reform in Vietnam under the Resolution 27?
- From July 1, 2024: 05 officials' incomes to be annulled after salary reform in Vietnam under the Resolution 27?
- From July 1, 2024: Which allowances will officials receive after the salary reform in Vietnam?
- What are the highest and lowest salaries for officials after salary reform in Vietnam from July 1, 2024?
From July 1, 2024: 05 officials' incomes to be annulled after salary reform in Vietnam under the Resolution 27?
Pursuant to Resolution 104/2023/QH15, comprehensive salary policy reform will be implemented based on Resolution 27-NQ/TW in 2018 from July 1, 2024.
Pursuant to Resolution 27-NQ/TW in 2018, it can be seen that from July 1, 2024, officials will no longer have the following 5 incomes:
(1) Non-salary expenses funded by the state budget, including meeting allowances, allowances for drafting legal normative documents, projects, seminars, etc.
(2) Annulling seniority allowances.
(3) Expanding the mechanism of lump-sum funds linked to task performance. Therefore, when successfully completing tasks, officials will receive an appropriate lump-sum payment based on the results achieved, without additional rewards as before. In addition to the salary fund, the salary reform policy also considers regulations on lump-sum payments for non-salary benefits such as car allowances, phone allowances, etc.
(4) Excluding the construction, amendment, and supplementation of policy and non-salary regime documents from the salary of officials.
(5) Pursuant to Resolution 104/2023/QH15, starting from July 1, 2024, when implementing salary reform, all specific financial management mechanisms and income in specialized agencies and state administrative units will be annulled. Instead, a unified regime of salary, allowances, and income will be applied to these entities.
From July 1, 2024: 05 officials' incomes to be annulled after salary reform in Vietnam under the Resolution 27? (Image from the Internet)
From July 1, 2024: Which allowances will officials receive after the salary reform in Vietnam?
Pursuant to Resolution 27-NQ/TW in 2018, when implementing salary reform from July 1, 2024, officials are expected to receive 8 allowances in the new salary system, including:
1. Multi-position allowance .
2. Extra seniority allowance.
3. Region-based allowance.
4. Responsibility allowance
5. Mobility allowance.
6. Professional preferential allowance.
7. Allowance for working in economically and socially difficult areas.
8. Allowance based on administrative unit classification and public service provider ranking.
At the same time, pursuant to Resolution 27-NQ/TW in 2018, the reform content is as follows:
For officials, public employees and armed forces (public sector):
a) The new salary structure is designed to include base pay (accounting for about 70% of the total salary fund) and allowances (accounting for about 30% of the total salary fund). Bonuses are additional (the bonus fund is approximately 10% of the annual total salary fund, excluding allowances).
Therefore, the above allowances will account for about 30% of the total salary fund.
What are the highest and lowest salaries for officials after salary reform in Vietnam from July 1, 2024?
(1) Highest Salary:
Before salary reform | After salary reform from July 1, 2024 |
Before July 1, 2024, the salary of officials was calculated based on the coefficient and statutory pay rate. Specifically: Official's salary = Coefficient x statutory pay rate The highest salary for officials is that of senior experts who do not hold leadership positions in the fields of politics, administration, economics, science, technology, education, healthcare, culture, and art, as specified in Appendix Table 1 issued with Decree 104/2004/ND-CP, with a coefficient of 10.0 equivalent to 18.0 million VND/month. | Pursuant to Resolution 27-NQ/TW in 2018, there is no specific regulation on the highest salary for officials after salary reform. However, according to the Government Information Portal, the new salary policy will expand the salary scale from level 1 to level 10 with the current coefficient of 2.34 to a coefficient ranging from 1 to 12, starting with a coefficient of 2.68. Therefore, with salary reform, the highest salary for officials could reach level 12, so the expected highest salary amount will be higher than the current 18.0 million VND/month. In addition, besides the base pay (accounting for about 70% of the total salary fund), officials will also receive a bonus amounting to 10% of the total salary fund, excluding allowances in the 30% of the total salary fund. Therefore, if we consider the base pay, allowances, and bonuses, the salary of officials could increase significantly. |
(2) Lowest Salary:
Before salary reform from July 1, 2024 | After salary reform from July 1, 2024 |
Currently, in Section 6 of the specialized payrolls for officials in state agencies issued with Decree 104/2004/ND-CP, supplemented by point d, clause 2, Article 1 of Decree 17/2013/ND-CP, officials in Group C3, Level 1, Category C have the lowest salary coefficient of 1.35. The current statutory pay rate is 1,800,000 VND/month. Before July 1, 2024, the salary of officials was calculated based on the coefficient and statutory pay rate. Specifically: Official's salary = Coefficient x statutory pay rate Therefore, the current lowest salary for officials is 2,430,000 VND/month. | Recently, the National Salary Council has finalized proposals to the Government regarding the region-based minimum wages from July 1, 2024 (estimated to increase by 6% compared to the current level). Therefore, the estimated region-based minimum wages will increase as follows: Region 1: 4,960,000 VND/month. Region 2: 4,410,000 VND/month. Region 3: 3,860,000 VND/month. Region 4: 3,450,000 VND/month. Therefore, the average minimum salary in the business sector, after increasing the region-based minimum wages by 6%, will be around 4.1 million VND. According to the objectives stated in Resolution 27-NQ/TW in 2018, the minimum salary for officials may be raised to around 4.1 million VND/month. By 2025, the minimum salary for officials will be higher than the average region-based minimum wage in the business sector. By 2030, the minimum salary for officials will be equal to or higher than the highest region-based minimum wage of the business sector. |
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