Vietnam: How much percentage will pensions paid to teachers be increased from July 1, 2024?

Are teachers in Vietnam entitled to pension increase under Decree 75/2024/ND-CP?

Under Decree 75/2024/ND-CP of the Government of Vietnam regulating the adjustment of pensions, social insurance allowances, and monthly benefits;

Article 1 of Decree 75/2024/ND-CP stipulates the persons eligible for pension increase as follows:

Scope and regulated entities

1. This Decree provides for adjustments to amounts of pensions, social insurance allowances and monthly benefits for the following persons receiving pensions, social insurance allowances and monthly benefits before July 01, 2024:

a) Cadres, officials, public employees and workers (including those contributing social insurance voluntarily and retired people transferred from Social Insurance Fund of farmers of Nghe An province as prescribed in the Prime Minister’s Decision No. 41/2009/QD-TTg dated March 16, 2009); military personnel, police officers and cipher officers who are receiving monthly pensions.

b) Cadres of communes, wards and commune-level towns (hereinafter referred to as “communes”) prescribed in Government's Decree No. 33/2023/ND-CP dated June 10, 2023, Government’s Decree No. 92/2009/ND-CP dated October 22, 2009, Government’s Decree No. 34/2019/ND-CP dated April 24, 2019, Government's Decree No. 121/2003/ND-CP dated October 21, 2003 and Government's Decree No. 09/1998/ND-CP dated January 23, 1998 who are receiving monthly pensions and benefits.

c) Those who are receiving monthly work-capacity loss allowance as per the law; those who are on monthly benefits as prescribed in Decision No. 91/2000/QD-TTg dated August 04, 2000 and Decision No. 613/QD-TTg dated May 06, 2010 of the Prime Minister; workers in the rubber-manufacturing industry on monthly benefits as prescribed in the Decision No. 206-CP dated May 30, 1979 of the Government Council.

d) Cadres of communes who are on monthly benefits as prescribed in Decision No. 130/CP dated June 20, 1975 of Government Council and Decision No. 111-HDBT dated October 13, 1981 of Council of Ministers.

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Thus, teachers who are public employees or those working under employment contracts and receiving monthly pensions before July 1, 2024 are eligible for pension increase starting from July 1, 2024.

How much percentage will pensions paid to teachers in Vietnam be increased from July 1, 2024? (Image from the Internet)

How much percentage will pensions paid to teachers in Vietnam be increased from July 1, 2024?

Under the provisions of Article 2 of Decree 75/2024/ND-CP regarding the time and rate of adjustment in pensions paid to teachers:

Time and rate of adjustment

1. From July 01, 2024, pensions, social insurance allowances and monthly benefits payable to the persons prescribed in clause 1 Article 1 of this Decree are increased by 15% compared to the amount of June 2024.

2. As of July 01, 2024, for the persons specified in clause 2 Article 1 of this Decree, after being adjusted as prescribed in clause 1 of this Article, the specific adjustment is as follows: those whose pension, social insurance allowance or monthly benefit is VND 3,200,000 or below will receive an additional VND 300,000 each per month, those whose pension, social insurance allowance or monthly benefit is from VND 3,200,000 to less than VND 3,500,000 will receive an pension, social insurance allowance or monthly benefit to make their total VND 3,500,000 each per month.

3. The amount of pensions, social insurance allowances and monthly benefits adjusted as prescribed in this Article shall serve as the basis for the next adjustments to the pensions, social insurance allowances and monthly benefits.

Thus, from July 1, 2024, pensions paid to teachers will be adjusted to increase by 15% over pensions, social insurance allowances, and monthly benefits of June 2024.

Additionally, for teachers who retired and received pensions, social insurance allowances and monthly benefits before January 1, 1995 at below 3,500,000 VND/month, adjustments will be as follows:

- Those whose pension, social insurance allowance or monthly benefit is VND 3,200,000 or below will receive an additional VND 300,000 each per month,

- Those whose pension, social insurance allowance or monthly benefit is from VND 3,200,000 to less than VND 3,500,000 will receive a pension, social insurance allowance or monthly benefit to make their total VND 3,500,000 each per month

What are the retirement date and start date for retirement benefits of teachers in Vietnam?

Under the provisions of Article 3 of Decree 135/2020/ND-CP:

Retirement date and start date for retirement benefits

1. Retirement date is the last day of the month in which one reaches the full retirement age as prescribed.

If an employee continues in employment after his full retirement age as prescribed, the retirement date is the date of termination of employment.

2. The start date for retirement benefits is the first day of the month following the month of the retirement date.

3. If the employee's dossier does not indicate his day and month of birth, but year of birth only, January 1 of his year of birth shall be used as the basis for determining of the retirement date and start date for retirement benefits.

The retirement date for teachers is the last day of the month in which one reaches the full retirement age as prescribed.

The start date for retirement benefits for teachers is the first day of the month following the month of the retirement date.