Will the job-based payrolls applicable to Vietnamese officials increase by 30% after salary reform in Vietnam in 2024 under the Resolution 27?
- Will the job-based payrolls applicable to Vietnamese officials increase by 30% after salary reform in Vietnam in 2024 under the Resolution 27?
- Which officials' allowances will be annulled after salary reform in Vietnam in 2024?
- What are new allowances for officials after salary reform in Vietnam in 2024?
Will the job-based payrolls applicable to Vietnamese officials increase by 30% after salary reform in Vietnam in 2024 under the Resolution 27?
Pursuant to Resolution 104/2023/QH15 on the state budget estimate for 2024, it is stipulated that starting from July 1, 2024, comprehensive salary policy reforms will be implemented according to Resolution 27-NQ/TW in 2018.
Pursuant to Resolution 27-NQ/TW in 2018, it is agreed to formulate payrolls based on job positions, titles, and leadership positions for the salary reform in 2024, which includes the following payrolls:
Payroll 1:
Applicable to officials and public employees holding leadership positions (elected and appointed) in the political system from central to commune level.
Payroll 2:
Applicable to professional and technical positions based on civil servant categories and professional titles, applying to officials and public employees who do not hold leadership positions.
The payrolls applicable to officials based on job positions are designed based on a new structure, including:
Base pay: accounting for about 70% of the total salary fund.
Allowances: accounting for about 30% of the total salary fund.
Bonuses: the bonus fund is about 10% of the total salary fund for the year, excluding allowances.
According to the Government's e-Portal, Minister of Home Affairs Pham Thi Thanh Tra stated that under the salary reform plan, starting from July 1, the average salary of officials and public employees is expected to increase by about 30% (including both base pay and allowances).
From 2025, this salary level will continue to be adjusted annually by an average of 7% per year.
Although we have not implemented salary reform in the past 3 years, the statutory pay rate has been adjusted twice, resulting in a 29.5% increase. Therefore, when calculating from 2021 (the expected time to implement salary reform according to Resolution 27-NQ/TW in 2018) to July 1, the salary of officials and public employees has increased significantly, reaching about 60% on average. While this figure may not be extraordinary, it is still a considerable increase compared to the annual average increase of 7% without salary reform.
Therefore, when implementing the salary reform policy on July 1, 2024, the salary of officials based on job positions will increase by about 30% (including both base pay and allowances).
From 2025, the salary of officials based on job positions will continue to be adjusted annually by an average of 7%.
Will the job-based payrolls applicable to Vietnamese officials increase by 30% after salary reform in Vietnam in 2024 under the Resolution 27? (Image from the Internet)
Which officials' allowances will be annulled after salary reform in Vietnam in 2024?
The content regarding allowances in Resolution 27-NQ/TW in 2018 is as follows:
II- DIRECTIVES, OBJECTIVES, AND REFORM CONTENT
...
3. Reform content
3.1. For officials, public employees, and armed forces (public sector)
...
d) Rearrange the current allowance regimes, ensuring that the total allowance fund accounts for a maximum of 30% of the total salary fund.
...
- Abolish seniority allowances (except for the military, police, and medical units to ensure salary parity with officials); leadership position allowances (as leadership positions in the political system are included in the position-based salary); party, political, and social organization allowances; official duty allowances (as they have been incorporated into the base pay); hazardous and dangerous allowances (as the hazardous and dangerous working conditions are included in profession-based allowances).
Therefore, after the salary reform in 2024, officials will no longer receive the following allowances:
- Seniority allowances
- Leadership position allowances (as leadership positions in the political system are included in the salary steps)
- Party, political, and social organization allowances
- Official duty allowances (as they have been incorporated into the base pay)
- Hazardous and dangerous allowances (as hazardous and dangerous working conditions are included in job-based allowances).
What are new allowances for officials after salary reform in Vietnam in 2024?
Pursuant to Resolution 27-NQ/TW in 2018, after the salary reform in 2024, officials will have 02 new allowances as follows:
(1) Job-based allowances based on the consolidation of job-based preferential allowances, responsibility allowances, and hazardous and dangerous allowances. This allowance applies to officials and public employees in professions and jobs with higher than normal labor conditions and appropriate preferential policies of the State (education and training, healthcare, judiciary, prosecution, civil enforcement, inspection, examination, auditing, customs, forestry management, market management, etc.).
(2) Allowances for work in especially difficult areas based on the consolidation of special allowances, attraction allowances, and long-term work allowances in economically and socially difficult areas.
However, in essence, these 02 allowances are formed from existing allowances, so they can be considered "new" in terms of their names. The detailed implementation of these 02 new allowances in the salary reform will require specific guidelines in the future.
LawNet