Officials and public employees receive an additional income when implementing the salary reform of 2024 according to Resolution 27?
Will officials and public employees receive additional income when implementing the 2024 salary reform according to Resolution 27?
Based on subsection 3.1, Section 3, Part II of Resolution 27/NQ-TW 2018, the content of the reforms regarding the design of the new salary structure for officials and public employees in the armed forces (public sector) is outlined as follows:
Reform Content
3.1. For officials and public employees and the armed forces (public sector)
a) Design a new salary structure comprising: Basic salary (accounting for approximately 70% of the total salary fund) and allowances (accounting for approximately 30% of the total salary fund). Add bonuses (the bonus fund is about 10% of the annual total salary fund, excluding allowances).
b) Develop and promulgate a new wage scale system based on job position, title, and leadership role to replace the current wage scale system; transfer old wages to new wages, ensuring that they are not lower than the current wages, including:
The new wage scales for officials and public employees will be designed according to the new salary structure as follows:
- Basic salary (accounting for approximately 70% of the total salary fund):
Abolish the statutory pay rate and current salary coefficients, and establish a basic salary amount as specific figures in the new wage scale.
Develop and promulgate two new wage scales for the military and police based on job position, title, and leadership role to replace the current wage scale system; transition old wages to new wages, ensuring they are not lower than current wages.
- Allowances (accounting for approximately 30% of the total salary fund):
Reorganize current allowance policies when reforming salaries for officials and public employees and the armed forces, based on the following principles:
+ Continue to apply concurrently; seniority exceeding framework allowances; regional allowances; work responsibility allowances; mobility allowances; security, defense, and specific allowances for the armed forces (military, police, cryptographic).
+ Consolidate professional preferential allowances, professional responsibility allowances, and hazardous allowances (collectively referred to as professional allowances) applicable to officials and public employees in professions and jobs with higher-than-normal working conditions and appropriate state policies (education and training, healthcare, courts, prosecution, civil judgment enforcement, inspection, auditing, customs, forest management, market supervision, etc.). Consolidate special allowances, attraction allowances, and long-term working allowances in special socio-economic difficulty areas into difficult area working allowances.
+ Abolish professional seniority allowances (except for the military, police, and cryptographic sectors to ensure salary parity with officials); leadership position allowances (as leadership positions in the political system will be paid according to rank); party, socio-political organization work allowances; public service allowances (as already included in the basic salary); and hazardous allowances (as hazardous working conditions are included in the professional allowances).
+ Establish new allowance policies according to the classification of administrative units at commune, district, and provincial levels.
+ Consistently implement a monthly allowance fund for non-professional activities at the commune, hamlet, and neighborhood levels, based on the regular expenditure ratio of the commune-level People's Committee; at the same time, specify the maximum number of non-professional workers according to each type of commune, hamlet, neighborhood. Based on that, the commune-level People's Committee submits to the corresponding level People's Council to specifically regulate the positions entitled to allowances, ensuring that one position can handle multiple tasks but maintaining quality and efficiency of assigned work.
- Add bonuses (the bonus fund is about 10% of the annual total salary fund, excluding allowances).
Thus, according to the spirit of Resolution 27/NQ-TW 2018, besides the current income from salaries and allowances, after implementing the salary reform expected from July 1, 2024, officials and public employees are likely to receive an additional income from bonuses (the bonus fund is about 10% of the annual total salary fund, excluding allowances).
Officials and public employees receiving additional income when implementing the 2024 salary reform according to Resolution 27? (Image from the internet)
What are the guiding principles for the salary reform according to Resolution 27/NQ-TW 2018?
Resolution 27/NQ-TW 2018 mentions the guiding principles of the salary reform as follows:
- Salary policy is an especially important policy within the socio-economic policy system. Salaries must genuinely be the main source of income ensuring the livelihood of workers and their families; proper salary payment is an investment in human resource development, creating motivation to improve labor productivity and work efficiency, significantly contributing to social progress and equity, ensuring political and social stability; promoting and improving the quality of growth and sustainable development.
- Salary policy reform must ensure comprehensiveness, systematicness, coherence, inheritance, and effective remediation of the current salary policy’s limitations and shortcomings; comply with the principle of distribution according to labor and the objective laws of the market economy, using labor productivity increase as the basis for salary increase; meeting the requirements of international integration; having a roadmap suitable to the country's socio-economic development conditions and resources.
- In the public sector, the State pays salaries for officials and public employees and the armed forces based on job position, title, and leadership role, suitable to the State's resources and public service revenue sources, ensuring a reasonable correlation with salaries in the labor market; implementing reward policies, deserving commendation according to labor productivity, creating motivation to improve job quality, public ethics, professional ethics, contributing to the purification and enhancement of the political system's effectiveness and efficiency.
- In the enterprise sector, salaries are the price of labor formed on an agreement basis between workers and employers according to the market mechanism under the State’s management. The State sets the minimum wage as the lowest floor to protect vulnerable workers, and it also serves as a basis for salary agreements and labor market regulation. Salary distribution is based on labor results and business efficiency, ensuring harmonious, stable, and progressive labor relations in businesses.
- Salary policy reform is an objective requirement, an important task, requiring high political determination in building a socialist rule-of-law State and perfecting a socialist-oriented market economy institution; promoting administrative reform; renewing and streamlining the organization of the political system for more effective and efficient operation, downsizing staff; reforming the organization and management system, improving the quality and effectiveness of public service providers.
When will the salary reform according to Resolution 27 be implemented?
On the afternoon of September 19, 2023, National Assembly Chairman Vuong Dinh Hue, in his closing speech at the Vietnam Socio-Economic Forum 2023, emphasized the need to soon fundamentally reform the salary policy in 2024.
The National Assembly Chairman also emphasized the urgent implementation of the fundamental reform of the salary policy in 2024. This reform is also seen as a boost for the labor market, contributing to stimulating domestic consumption.
"This is a reform, not just a regular salary increase. If nothing changes, the time we can apply it is from July 1, 2024."
Thus, the salary policy reform is expected to be implemented from July 1, 2024.
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