Vietnam: How is the salary of public lower secondary school teachers calculated when there is a new salary policy in place?

How is the salary of public lower secondary school teachers calculated when there is a new salary policy in place?

Firstly, according to Article 8 Circular 03/2021/TT-BGDDT of the Ministry of Education and Traing of Vietnam as stipulated:

Salary classification

1. Civil servants appointed to professional titles of public secondary school teachers as regulated in this Circular shall apply the salary table corresponding to Decree No. 204/2004/ND-CP dated December 14, 2004, of the Government of Vietnam on salary policies for officials and public employees and armed forces. Specifically:

a) Secondary school teachers of rank III, code V.07.04.32, shall apply the salary coefficient of public employee type A1, from the salary coefficient of 2.34 to 4.98;

b) Secondary school teachers of rank II, code V.07.04.31, shall apply the salary coefficient of public employee type A2, group A2.2, from the salary coefficient of 4.00 to 6.38;

c) Secondary school teachers of rank I, code V.07.04.30, shall apply the salary coefficient of public employee type A2, group A2.1, from the salary coefficient of 4.4 to 6.78.

2. The salary arrangement when appointed to professional titles shall follow the guidance in Section 1, Part II of Circular No. 02/2007/TT-BNV dated May 25, 2007, of the Ministry of Home Affairs guiding salary arrangement when advancing grades, transferring grades, transferring types of officials and public employees, and complying with current legal regulations. When new salary policies are implemented, the salary transition shall be in compliance with the Government's regulations.

The salary classification for public secondary school teachers of rank II, code V.07.04.31, applies the salary coefficient of public employee type A2, group A2.2, from the salary coefficient of 4.00 to 6.38.

Before July 1, 2024, the salary calculation for secondary school teachers is based on the regulation in Article 3 Circular 10/2023/TT-BNV, whereby the salary of public employee teachers is calculated as follows:

Salary = Coefficient x Statutory pay rate

Currently, the salary calculation for public secondary school teachers is based on Decree 73/2024/ND-CP, applying the increased statutory pay rate of 2,340,000 VND/month.

Additionally, since public secondary school teachers of rank II are classified as public employee type A2, group A2.2, the salary is calculated as per Article 3 Circular 07/2024/TT-BNV as follows:

Salary = 2,340,000 VND x Salary coefficient

Thus, from July 1, 2024, the salary of secondary school teachers after the salary reform shall be calculated as follows:

Salary = 2,340,000 VND x Salary coefficient (from 4.00 to 6.38)

How is the salary for public secondary school teachers in 2024 calculated after the salary reform? What is the percentage of the bonus for secondary school teachers? (Image from the Internet)

What is the maximum percentage of bonuses for secondary school teachers?

Based on Subsection 3, Section 2 Resolution 27-NQ/TW of 2018, the contents of the salary reform for officials, public employees, and armed forces (public sector) include:

DIRECTIVE VIEWPOINTS, OBJECTIVES, AND REFORM CONTENTS

...

3. Reform contents

3.1. For officials, public employees, and armed forces (public sector)

a) Design a new salary structure consisting of: Basic salary (accounting for about 70% of the total salary fund) and allowances (accounting for about 30% of the total salary fund). Bonuses are added (the bonus fund is about 10% of the total annual salary fund, excluding allowances).

Hence, according to the above regulation, secondary school teachers shall receive bonuses (the bonus fund is about 10% of the total annual salary fund, excluding allowances).

Therefore, there is no specific cap that bonuses for secondary school teachers cannot exceed 10%. The regulation only estimates the bonus fund to be about 10% of the total annual salary fund, excluding allowances.

What is the latest bonus policy for public secondary school teachers based on?

According to Article 4 Decree 73/2024/ND-CP regarding bonus policies:

- Implement bonus policies based on sudden achievements in work and the results of annual performance evaluations and classifications for individuals specified in Clause 2, Article 2 Decree 73/2024/ND-CP.

- The bonus policy is used to reward sudden achievements in work and annual rewards based on the results of job performance evaluations and classifications for each salaried individual within the organization. The head of the authority with managerial competence or delegated managerial authority and the head of the public service provider is responsible for developing specific regulations to implement the bonus policy for individuals within the organization's payroll list; submitting it to the directly higher management authority for oversight, checking, and public implementation within the organization.

- The organization's bonus regulations in Clause 2, Article 4 Decree 73/2024/ND-CP must include the following contents:

+ Scope and subject of application;

+ Criteria for rewarding based on sudden work achievements and annual performance evaluation results of salary recipients within the organization;

+ Specific bonus amounts for each case, not necessarily tied to the salary coefficient of each individual;

+ Procedures and processes for bonus consideration;

+ Other regulations as required by the organization's management (if needed).

- The annual bonus fund, beyond the reward fund as stipulated in the Emulation and Reward Law 2022, is determined as 10% of the total salary fund (excluding allowances) based on position, title, grade, rank, and military rank of the individuals in the organization's payroll list.

By January 31 of the following year, if the organization does not use up the annual bonus fund, the remaining amount will not be carried over to the bonus fund of the following year.

Thus, according to the regulation, the latest bonus policies for public secondary school teachers are based on sudden work achievements and the results of annual performance evaluations and classifications.