Title: Lunar New Year Bonus Before and After the 2024 Salary Reform for Officials and Public Employees: What Changes?
Lunar New Year Bonus before and after the 2024 Salary Reform for Officials and Public Employees
The Lunar New Year bonus is always a matter of great interest. Currently, the bonus for officials and public employees is regulated as follows:
- For officials (Clause 2, Article 12 of the Law on Officials 2008): Officials and public officials are entitled to overtime pay, night work pay, travel expenses, and other policies as prescribed by law.
- For public employees (Clause 3, Article 12 of the Law on Public Employees 2010): They are entitled to bonuses and salary increases as prescribed by law and the regulations of the public service provider.
Currently, the law does not have specific provisions on the Lunar New Year bonus; it does not mandate agencies or organizations to give Lunar New Year bonuses to officials and public employees.
On November 10, the National Assembly passed the Resolution on the State Budget Estimate for 2024.
The resolution explicitly states that from July 1, 2024, comprehensive salary reform policies will be implemented according to Resolution 27-NQ/TW in 2018 of the Seventh Conference of the 12th Central Executive Committee.
According to Resolution 27-NQ/TW in 2018, the salary structure for officials and public employees and the armed forces (public sector) will be designed as follows:
For officials, public employees, and the armed forces (public sector)
The new salary structure includes: Basic salary (accounting for about 70% of the total salary fund) and allowances (accounting for about 30% of the total salary fund). Bonuses will be added (the bonus fund will be about 10% of the annual total salary fund, excluding allowances).
...
Thus, bonuses (the bonus fund will be about 10% of the annual total salary fund, excluding allowances) will be added from July 1, 2024, when the salary reform comes into effect.
However, there is currently no official document regulating the bonus when the salary reform is implemented. Whether the Lunar New Year bonus will be included in the bonus fund must await official guidance documents.
Lunar New Year Bonus before and after the 2024 Salary Reform for Officials and Public Employees (Image from the Internet)
Lunar New Year Holiday Schedule 2024 for Officials and Public Employees
On November 22, 2023, the Ministry of Labor, Invalids and Social Affairs announced the Lunar New Year holiday schedule for the Year of the Dragon and the National Day holiday in 2024 for officials, public employees, and workers.
According to Notice 5015/TB-LDTBXH in 2023 from the Ministry of Labor, Invalids, and Social Affairs (MOLISA), officials and public employees will have the Lunar New Year holiday in 2024 from Thursday, February 8, 2024 (Gregorian calendar) (i.e., the 29th day of the twelfth lunar month of the Year of the Cat) to the end of Wednesday, February 14, 2024 (Gregorian calendar) (i.e., the 5th day of the first lunar month of the Year of the Dragon).
(The Lunar New Year holiday includes 05 days of Lunar New Year holiday and 02 compensatory days for regular weekly days off as provided for in Clause 3, Article 111 of the Labor Code 2019).
The holiday schedule for officials and public employees will follow the announcement as above.
Wage Rates for Working during the 2024 Lunar New Year Holiday
Article 98 of the Labor Code 2019 stipulates overtime pay and nighttime work pay as follows:
Overtime Pay and Nighttime Work Pay
1. Employees working overtime shall be paid according to the wage unit price or the actual wage paid for the job they are doing as follows:
a) On normal days, at least 150%;
b) On weekly days off, at least 200%;
c) On public holidays, New Year festivals, paid leave days, at least 300% not including the wage for public holidays, New Year festivals, paid leave days for employees who receive daily wages.
2. Employees working at night shall be paid an additional amount of at least 30% of the wage calculated according to the wage unit price or the actual wage paid for the job they are doing on a normal working day.
3. Employees working overtime at night shall, apart from the wage mentioned in Clauses 1 and 2 of this Article, be paid an additional 20% of the wage calculated according to the wage unit price or the actual wage paid for the job they are doing during the daytime of a normal working day, a weekly day off, or a public holiday, New Year festival.
4. the Government of Vietnam shall provide detailed regulations for this Article.
Thus, according to the above regulations, employees working during the 2024 Lunar New Year holiday will enjoy the following wage rates:
- At least 300% not including the wage for public holidays, New Year festivals, paid leave days for employees who receive daily wages.
In case of working at night, they will also be paid at least 30% of the wage calculated according to the wage unit price or the actual wage paid for the job they are doing on a normal working day and an additional 20% of the wage calculated according to the wage unit price or the actual wage paid for the job done during the daytime of the Lunar New Year holiday.
LawNet