In Vietnam, has the official time for salary reform in 2024 been published? What is the roadmap for salary reform in 2024?
In Vietnam, has the official time for salary reform in 2024 been published?
On November 10, with a majority of deputies (94.33%), the National Assembly of Vietnam passed a Resolution on the state budget estimate for 2024.
Specifically, the resolution states:
"From July 1, 2024, implement the overall salary policy reform in accordance with Resolution 27-NQ/TW 2018 of the 7th meeting of the XII Central Committee."
Funding for the implementation of salary reform is guaranteed from the accumulated salary reform source of the central budget, local budget, and part of the allocation in the state budget balancing expenditure estimate.
At the same time, it will adjust pensions, social insurance allowances, monthly allowances, preferential benefits for people with meritorious services, and some social security policies that are tied to the statutory pay rate
Thus, the National Assembly of Vietnam has officially approved the time for salary reform from July 1, 2024 under Resolution 27-NQ/TW 2018.
Source: Government Web Portal.
What is the roadmap for salary reform in Vietnam according to Resolution 27/NQ-TW?
In Resolution 27-NQ/TW 2018, the roadmap for salary reform during 2021-2025, a vision to 2030 is specified as follows:
For the public sector
- From 2021, apply a new unified salary regime for officials, public employees, and armed forces in the entire political system.
- In 2021, the lowest salary paid to officials, and public employees is equal to the average region-based statutory minimum wage in the enterprise sector.
- Periodically raise salaries in accordance with the consumer price index, economic growth, and state budget capacity.
- By 2025, the lowest salary paid to officials and public employees will be higher than the average region-based statutory minimum wage in the enterprise sector.
- By 2030, the lowest salary paid to officials, and public employees will be equal to or higher than the lowest salary of the highest region of the enterprise sector.
For the enterprise sector
- From 2021, the State periodically adjusts the region-based statutory minimum wage based on recommendations of the National Salary Council. Enterprises are allowed to implement salary policies on the basis of negotiations and agreements between employers and employees and collective representatives of employees; The state does not directly intervene in enterprises' salary policies.
- Implement labor and salary management in state-owned enterprises according to the method of contracting salary costs associated with the production and business tasks of the enterprise until 2025 and moving towards contracting the production and business tasks of the enterprise by 2030.
What are the 05 payrolls formulated by job positions upon salary reform in 2024 in Vietnam?
Under Resolution 27-NQ/TW 2018, it will formulate and promulgate 05 new job positions-based payrolls applicable to officials, and public employees, and army forces from July 1, 2024, including:
- 01 position payroll applicable to officials, and public employees holding leading positions (elections and appointments) in the political system from the central to the commune level according to the following principles:
+ The salary of positions must reflect the hierarchy in the political system; a person holding a leading position shall be paid according to that position, if a person holds more than one position, he/she shall enjoy the salary applicable to the highest position salary; a person holding the same leading position shall enjoy the same position salary; the position salary of the superior leader must be higher than the position salary of the subordinate leader;
+ Prescribe a salary for each equivalent type of office; fail to classify ministries, branches, departments, committees, and their equivalents at the Central level when formulating the payroll of posts at the Central; do not distinguish between different salaries and positions for the same leading title according to the classification of local administrative units, but implemented by allowances.
+ The classification of equivalent leadership positions in the political system to design the position payroll shall be decided by the Politburo after reporting to the Central Committee.
- 01 professional payroll according to the rank of civil servants and professional titles of public employees generally applicable to officials and public employees who do not hold leading titles; Each rank of civil servant and professional title of public employees has many salary grades according to the principles:
+ At the same level of work complexity, the salary is the same;
+ In case of higher than normal working conditions and vocational incentives, job-based allowances;
+ Rearrange the group of ranks and the number of grades in the ranks of civil servants and professional titles of public employees, and encourage officials and public employees to improve their professional qualifications.
The appointment to the rank of civil servant or professional title of public employee must be associated with the job position and structure of ranks of civil servants, and professional titles of public employees and implemented by agencies, organizations, and units managing officials and public employees.
- 03 payrolls for the armed forces, including:
+ 1 payroll for military officers, officers, and non-commissioned officers in police service (by position, title, and military rank or grade);
+ 1 payroll of professional military personnel, police technical expertise
+ Payroll of defense workers, and police workers (which keeps the salary correlation of the armed forces compared to administrative officials as at present).
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