What are amendments to regulations on the retirement age for officials holding managerial positions in Vietnam under Decree 99​?

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What are amendments to regulations on the retirement age for officials holding managerial positions in Vietnam under Decree 99​?

On July 26, 2024, the Government of Vietnam issued Decree 99/2024/ND-CP amending and supplementing point p of clause 1, Article 2 of Decree 83/2022/ND-CP dated October 18, 2022, of the Government of Vietnam, regarding retirement at a higher age for officials holding leadership and managerial positions.

Article 1 of Decree 99/2024/ND-CP amends point p of clause 1, Article 2 of Decree 83/2022/ND-CP dated October 18, 2022, of the Government of Vietnam, as follows:

"p) Members of the Standing Committee of the Party Committee of Hanoi and Ho Chi Minh City."

From July 26, 2024, the following officials shall be eligible for retirement at a higher age as regulated:

In Article 2 of Decree 83/2022/ND-CP, which is amended by this Decree, the officials holding leadership positions eligible for retirement at a higher age include:

- Group 1: Female officials holding the following positions and titles:

+ Deputy Heads of Central Party Committees and Agencies; Deputy Director of the Ho Chi Minh National Academy of Politics, Deputy Editor-in-Chief of the People's Newspaper, Deputy Editor-in-Chief of the Communist Magazine;

+ Vice Chairman of the Central Committee of the Vietnam Fatherland Front;

+ Vice Chairman of the Ethnic Council, Vice Chairmen of the National Assembly Committees, Deputy Heads of the National Assembly Office;

+ Deputy Chief Justice of the Supreme People's Court, Deputy Chief of the Supreme People's Procuracy;

+ Deputy Ministers, deputy heads of ministerial-level agencies;

+ Deputy Heads of the Office of the President, Deputy State Auditor General;

+ Deputy Heads of central socio-political organizations;

+ Deputy Secretaries of Provincial Party Committees, City Party Committees, Party Committees of centrally-affiliated blocs; Chairmen of People's Councils, Chairmen of People's Committees of provinces and centrally-affiliated cities;

+ Members of the Central Inspection Commission;

+ Director of the National Political Publishing House Truth;

+ Director of the Institute for Legislative Studies under the National Assembly Standing Committee;

+ Director of Hanoi National University, Director of Ho Chi Minh City National University, General Director of Vietnam Social Security, Head of the Ho Chi Minh Mausoleum Management Board, Chairman of the National Financial Supervision Committee; Vice Chairman of the State Capital Management Committee at Enterprises;

+ Vice Chairman of the People's Council, Vice Chairman of the People's Committee of Hanoi and Ho Chi Minh City;

+ Standing member of the Ethnic Council and Committees of the National Assembly;

+ Standing member of the Hanoi and Ho Chi Minh City Party Committees

+ Standing member of the Provincial Party Committee and City Party Committee who are ethnic minorities.

- Group 2: Civil servants appointed as Justices of the Supreme People's Court, Procurators of the Supreme People's Procuracy.

These officials holding leadership positions mentioned above are eligible for retirement at a higher age.

*Note: Cases not applying the higher retirement age regulation of Decree 83/2022/ND-CP follow the regulations of the competent authority of the Communist Party, including:

- Officials holding positions from Minister or equivalent upwards;

- Officials specified in clause 1 of this Article who are Members of the Central Committee of the Communist Party;

- Assistants, secretaries to the General Secretary, President, Prime Minister, President of the National Assembly, Standing Committee of the Secretariat, Members of the Politburo, Members of the Secretariat, Vice President, Deputy Prime Ministers, Vice Presidents of the National Assembly.

What are amendments to regulations on the retirement age for officials holding managerial positions in Vietnam under Decree 99​? (Internet image)

What are the current regulations on calculating pension in Vietnam?

Currently, the method to calculate the pension for employees contributing to mandatory social insurance is regulated in clause 1, Article 7 of Decree 115/2015/ND-CP as follows:

The monthly pension enjoyment rate is regulated as follows:

- For employees retiring from January 1, 2016, to before January 1, 2018, the monthly pension enjoyment rate is 45% for 15 years of social insurance contributions, with an additional 2% for each further year of contributions for men, and 3% for women; the maximum rate is 75%.

- For female employees retiring from January 1, 2018, onwards, the monthly pension enjoyment rate is 45% for 15 years of social insurance contributions, with an additional 2% for each further year of contributions; the maximum rate is 75%.

- For male employees retiring from January 1, 2018, onwards, the monthly pension enjoyment rate is 45% for 16 years of social insurance contributions in 2018, increasing annually by one additional year of contributions until reaching 20 years in 2022, with an additional 2% for each further year of contributions; the maximum rate is 75%.

The method to calculate the pension for individuals contributing to voluntary social insurance is regulated in clause 1, Article 3 of Decree 134/2015/ND-CP as follows:

The monthly pension enjoyment rate is regulated as follows:

- For individuals retiring from January 1, 2016, to before January 1, 2018, the monthly pension enjoyment rate is 45% for 15 years of social insurance contributions, with an additional 2% for each further year of contributions for men, and 3% for women; the maximum rate is 75%.

- For females retiring from January 1, 2018, onwards, the monthly pension enjoyment rate is 45% for 15 years of social insurance contributions, with an additional 2% for each further year of contributions; the maximum rate is 75%.

- For males retiring from January 1, 2018, onwards, the monthly pension enjoyment rate is 45% for 16 years of social insurance contributions in 2018, increasing annually by one additional year of contributions until reaching 20 years in 2022, with an additional 2% for each further year of contributions; the maximum rate is 75%.

What are the current regulations on conditions for entitlement to a pension in Vietnam?

According to Article 54 of the Law on Social Insurance 2014 as amended by point a, clause 1, Article 219 of the Labor Code 2019, the conditions are as follows:

Conditions for enjoying a pension

1. Employees specified at points a, b, c, d, g, h, and i of clause 1, Article 2 of this Law, except for the case specified in clause 3 of this Article, who upon retirement have paid social insurance premiums for at least 20 years, are entitled to pension if they meet one of the following conditions:

a) Reaching the age specified in clause 2, Article 169 of the Labor Code;

b) Reaching the age specified in clause 3, Article 169 of the Labor Code and having at least 15 years working in arduous, hazardous, dangerous or extremely arduous, hazardous, dangerous jobs or occupations on the list issued by the Ministry of Labor, Invalids, and Social Affairs or having at least 15 years working in regions with extremely difficult socio-economic conditions, including working time with a regional allowance of 0.7 or more before January 1, 2021;

c) Employees being at most 10 years younger than the retirement age specified in clause 2, Article 169 of the Labor Code and having at least 15 years of working in coal mining in underground mines;

d) Employees infected with HIV due to occupational accidents during the performance of assigned tasks.

2. Employees specified at points d and e of clause 1, Article 2 of this Law, who upon retirement have paid social insurance premiums for at least 20 years, are entitled to pension if they meet one of the following conditions:

a) Being at most 5 years younger than the retirement age specified in clause 2, Article 169 of the Labor Code, except for the case where the Law on Officers of the Vietnam People's Army, the Law on People's Public Security, the Law on Cryptography, and the Law on Professional Soldiers, Defense Workers, and Public Employees have other provisions;

b) Being at most 5 years younger than the retirement age specified in clause 3, Article 169 of the Labor Code and having at least 15 years working in arduous, hazardous, dangerous or extremely arduous, hazardous, dangerous jobs or occupations on the list issued by the Ministry of Labor, Invalids, and Social Affairs or having at least 15 years working in regions with extremely difficult socio-economic conditions, including working time with a regional allowance of 0.7 or more before January 1, 2021;

c) Employees infected with HIV due to occupational accidents during the performance of assigned tasks.

3. Female employees are officials at commune level or non-professional employees at commune level who participate in social insurance, upon retirement having between 15 and less than 20 years of paying social insurance and reaching the retirement age specified in clause 2, Article 169 of the Labor Code, are entitled to pension.

4. The age conditions for entitlement to a pension for certain special cases are regulated by the Government of Vietnam.

Thus, the conditions for entitlement to a pension in Vietnam are implemented as specified above.