Vietnam: From December 16, 2024, what is the guidance on determining the prices of educational and training services under Circular 14?

From December 16, 2024, what is the guidance on determining the prices of educational and training services in Vietnam under Circular 14?

Under Article 10 of Circular 14/2024/TT-BGDDT, specific regulations on determining the cost of educational services are as follows:

The prices of educational and training services are determined by the following formula:

Prices of Educational and Training Services = (Costs for salary payment + Material Costs + Management Costs + Depreciation of Fixed Assets + Other Costs)

Where:

[1] Costs for salary payment

Costs for salary payment include payments to teachers, lecturers, management staff, and direct employees engaged in providing educational services, including salaries, wages, and allowances of a salary nature, payments for social insurance, health insurance, unemployment insurance, trade union costs, and other expenses as required by current legislation.

According to the above formula:

- Labor Norms: calculated as follows

+ Direct labor norms refer to the time spent on theoretical teaching; practical guidance; thesis, dissertation, and essay guidance...

+ Indirect labor norms are calculated as a percentage of direct labor.

- The Unit price of Salary is implemented according to current legal provisions on wages; wage costs or regulations on work positions and employee policies are payments to employees based on labor contracts or collective labor agreements.

Note:

Based on the actual conditions and demands, costs for salary payment are determined on the foundation of the salary fund of the educational institution, ensuring the unit's effective operation, and must be detailed in the unit's internal expenditure regulations.

[2] Equipment Norms

- Identify equipment types;

- Determine basic technical specifications of the equipment;

- Identify the usage time for each equipment type;

- Compile the equipment norms.

Equipment used for management and indirect labor services at an educational institution is not included in the equipment norms.

[3] Material Norms

- Identify material types;

- Determine quantity/volume for each material type: Based on equipment types, machine operating time load (material consumption);

- Determine the recovery rate (%) of material: Based on the characteristics and nature of the materials to estimate the recovery percentage (%);

- Identify basic technical requirements of materials: Describe technical specifications of each material type suitable for training.

[4] Infrastructure Norms

[4.1] Norms for using a theoretical learning area for one student:

Dlt = Slt x Tlt

Where:

- Dlt: Norms for using the theoretical learning area for one student during the training process (unit: m² x hour/student);

- Slt: Average area used by one student at the theoretical learning area during the training process (unit: m²/student);

- Tlt: Total time used at the theoretical learning area for one student during the training process (unit: hours).

[4.2] Norms for using each practical, internship, laboratory area for one student during the training process:

Dth = Sth x Tth

Where:

- Dth: Norms for using each practical, internship, laboratory area for one student during the training process (m² x hour/student);

- Sth: Average area used in each practical, internship, laboratory area for one student during the training process (m²/student);

- Tth: Total time used in each practical, internship, laboratory area for one student during the training process (hours).

[4.3] Norms for other functional, technical infrastructure areas in the school are calculated as a percentage (%) compared to the total norms of theoretical and practical, internship, laboratory areas.

From December 16, 2024, what is the guidance on determining the prices of educational and training services in Vietnam under Circular 14? (Image from Internet)

What are the methods for developing economic-technical norms in Vietnam?

Under Article 6 of Circular 14/2024/TT-BGDDT, the methods for developing economic-technical norms in Vietnam are as follows:

- Standard Method:

Based on legal standards and regulations regarding working time, rest policies, machine, and equipment consumption to develop labor, equipment, material norms, and infrastructure for each task, serving as a basis for calculating and developing economic-technical norms.

- Comprehensive Statistical Method:

Based on annual statistical data or in reporting periods spanning three consecutive years before the time of developing economic-technical norms and the actual education and training at educational institutions to develop economic-technical norms.

- Experimental Analysis Method:

Conduct surveys and experiments according to each process, and work content; analyze and calculate each component of the norm based on survey and experiment results.

- Comparative Method:

Based on norms of equivalent tasks and products performed in reality to develop economic-technical norms.

What are the regulations on classification of economic-technical norms in Vietnam?

Under Article 4 of Circular 14/2024/TT-BGDDT, specific regulations on the classification of economic-technical norms in Vietnam are as follows:

Classification of Economic-Technical Norms

1. Classification by issuing authorities

a) Ministerial-level Economic-Technical Norms are those constructed, appraised, and issued by the Ministry of Education and Training for application in the education, training sectors;

b) Local-level Economic-Technical Norms are those constructed, appraised, and issued by the provincial People's Committee for preschool, general education, pedagogical colleges, and continuing education services of the locality to be applied within the local agencies, organizations, educational institutions;

c) Institution-level Economic-Technical Norms are constructed, presented for appraisal, promulgated, or promulgated under the authority by educational institutions for specialized activities.

2. Classification by Public Service Groups

Economic-Technical Norms according to groups of public services using state budget as prescribed in the Prime Minister of the Government of Vietnam's decision on issuing the list of public services using the state budget in the education and training sector.

Thus, under the above regulations, economic-technical norms are classified into two groups: classification by issuing authorities and classification by public service groups.