Issuance of Decree 73 on the statutory pay rate and bonus regime for officials, civil servants, and armed forces in Vietnam

Has the Decree 73 on the statutory pay rate and bonus regime for officials, civil servants, and armed forces in Vietnam been issued yet?

Issuance of Decree 73 on the statutory pay rate and bonus regime for officials, civil servants, and armed forces in Vietnam

On June 30, 2024, the Government issued Decree 73/2024/ND-CP, which regulates the statutory pay rate and bonus regime for officials, civil servants, and armed forces.

Decree 73/2024/ND-CP stipulates the applicable statutory pay rate for individuals receiving salaries, allowances, and the bonus regime for those working in public agencies, organizations, public career units of the Party, State, Vietnam Fatherland Front, political-social organizations, and associations receiving financial support from the state budget at the central level, in provinces, centrally-run cities, districts, towns, provincial cities, cities directly under the central government, communes, wards, townships, in special administrative-economic units, and armed forces.

Article 2 of Decree 73/2024/ND-CP specifies the scope of application for the statutory pay rate, which includes:

[1] Officials and civil servants from the central to district level as regulated in Clause 1 and Clause 2 of Article 4 of the Law on Officials and Civil Servants 2008 (amended and supplemented in the Law amending and supplementing some articles of the Law on Officials and Civil Servants and the Law on Public Employees 2019).

[2] Officials and civil servants at the commune level as regulated in Clause 3 of Article 4 of the Law on Officials and Civil Servants 2008 (amended and supplemented in the Law amending and supplementing some articles of the Law on Officials and Civil Servants and the Law on Public Employees 2019).

[3] Public employees in public career units as regulated in the Law on Public Employees 2010 (amended and supplemented in the Law amending and supplementing some articles of the Law on Officials and Civil Servants and the Law on Public Employees 2019).

[4] Individuals performing work under labor contracts as regulated in Decree 111/2022/ND-CP.

[5] Individuals working in the staffing quota of organizations receiving financial support from the state budget as regulated in Decree 45/2010/ND-CP (amended and supplemented in Decree 33/2012/ND-CP dated April 13, 2012, by the Government).

[6] Professional officers, military personnel, workers, defense officials, and contracted laborers in the Vietnam People's Army.

[7] Officers, non-commissioned officers receiving salaries, police officers, and contracted laborers in the People's Police.

[8] Individuals working in essential organizations.

[9] Non-commissioned officers and soldiers in the Vietnam People's Army; non-commissioned officers and conscripted soldiers in the People's Police.

[10] Non-professional individuals at the commune, hamlet, and neighborhood levels.

Issuance of Decree 73 on the statutory pay rate and bonus regime for officials, civil servants, and armed forces in Vietnam - image from internet

What are the amounts that use statutory pay rate as the basis in Vietnam?

Basing on Article 3 of Decree 73/2024/ND-CP, the statutory pay rate is regulated as follows:

statutory pay rate:

1. The statutory pay rate is used as a basis for:

a) Calculating salary levels in salary tables, allowances, and implementing other regimes as prescribed by law for the subjects specified in Article 2 of this Decree;

b) Calculating activity fees, living expenses as prescribed by law;

c) Calculating deductions and regimes enjoyed based on the statutory pay rate.

2. From July 1, 2024, the statutory pay rate is set at 2,340,000 VND per month.

3. For agencies and units currently applying special financial and income mechanisms at the central level: Implementing the reservation of the difference between the salary and the additional income in June 2024 of officials, civil servants, and public employees with the salary from July 1, 2024, after amending or abolishing the financial and special income mechanisms. During the period before amending or abolishing these mechanisms, the monthly salary and additional income shall be implemented based on the statutory pay rate of 2,340,000 VND per month according to the special mechanism from July 1, 2024, ensuring that it does not exceed the salary and additional income enjoyed in June 2024 (excluding the part of salary and additional income adjusted by the coefficient of salary grade when the grade is upgraded). In case the salary and additional income calculated according to the above principle from July 1, 2024, under the special mechanism is lower than the salary specified under the general regulation, the salary regime specified under the general regulation shall be implemented.

...

According to the above regulations, the statutory pay rate from July 1, 2024 will be used to calculate:

- Salary levels in salary tables, allowances, and the implementation of other regimes as prescribed by law for the subjects specified in Article 2 of this Decree;

- Activity fees, living expenses as prescribed by law;

- Deductions and regimes enjoyed based on the statutory pay rate.

When is the statutory pay rate of 2,340,000 VND per month applied in Vietnam?

Based on Article 6 of Decree 73/2024/ND-CP, which stipulates the effective implementation:

Effective implementation

1. This Decree shall come into effect from July 1, 2024.

2. Decree No. 24/2023/ND-CP dated May 14, 2023, of the Government, which regulates the statutory pay rate for officials, civil servants, public employees, and armed forces, shall cease to be effective from the date this Decree comes into effect.

According to the above regulations, the statutory pay rate of 2,340,000 VND per month is applied from July 1, 2024.

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