Circular 07 guiding Decree 73/2024/ND-CP on increasing the statutory pay rate from July 1, 2024?
Circular 07 Issued to Guide the Implementation of Decree 73/2024/ND-CP on Increasing the Statutory Pay Rate from July 1, 2024?
On July 5, 2024, the Minister of Home Affairs issued Circular 07/2024/TT-BNV guiding the implementation of the statutory pay rate for individuals receiving salaries and allowances within agencies, organizations, and public service providers of the Communist Party, the State, the Vietnam Fatherland Front, socio-political organizations, and associations.
Circular 07/2024/TT-BNV guides the following contents:
- Individuals receiving salaries and allowances within agencies, organizations, and public service providers of the Communist Party, the State, the Vietnam Fatherland Front, socio-political organizations, and associations will have their statutory pay rate increased to VND 2,340,000 from July 1, 2024, according to Decree 73/2024/ND-CP.
- The methodology for calculating the salaries, allowances, and operational expenses for individuals receiving salaries and allowances within agencies, organizations, and public service providers of the Communist Party, the State, the Vietnam Fatherland Front, socio-political organizations, and associations.
Circular 07 Issued to Guide the Implementation of Decree 73/2024/ND-CP on Increasing the Statutory Pay Rate from July 1, 2024? (Image from the Internet)
How to Calculate the Salary According to Circular 07/2024/TT-BNV?
According to point a, clause 1, Article 3 of Circular 07/2024/TT-BNV, the following is specified:
Methodology for Calculating Salaries, Allowances, and Operational Expenses
- For officials and public employees as defined in clauses 1, 2, 3, 4, 5, 8, and 9 of Article 1 of this Circular:
Based on the current salary coefficient and allowances as stipulated in documents of the competent authority of the Communist Party, the State regarding salary policies for officials and public employees and the armed forces, the statutory pay rate specified in Decree No. 73/2024/ND-CP dated June 30, 2024, of the Government of Vietnam stipulates the statutory pay rate and bonus policies for officials and public employees and the armed forces (hereinafter abbreviated as Decree No. 73/2024/ND-CP) to calculate the salary, allowance levels, and the amount of the differential reserved coefficient (if any) as follows:
a) Salary calculation formula:
(Salary effective from July 1, 2024) = (Statutory pay rate VND 2,340,000/month) x (Current salary coefficient)
...
For the subjects stated in Circular 07/2024/TT-BNV, except for the representatives of the People's Council at all levels receiving operational expenses as prescribed by the current law and those working within the cipher organization, the salary calculation formula is as follows:
| Effective Salary | = | (Statutory pay rate VND 2,340,000/month) | x | (Current salary coefficient) |
| :---: | :---: | :---: | :---: | :---: |
Which Subjects are Eligible for the Increased Statutory Pay Rate to VND 2.34 Million from July 1, 2024, According to Circular 07/2024/TT-BNV?
Per Article 1 of Circular 07/2024/TT-BNV, the subjects eligible for the increased statutory pay rate to VND 2.34 million from July 1, 2024, are as follows:
- Cadres and officials receiving salaries from the state budget working in agencies of the Communist Party, the State, the Vietnam Fatherland Front, and socio-political organizations at the Central level; at the provincial level; at district-level towns, cities of provinces, centrally managed cities; and in special administrative-economic units.
- Public employees receiving salaries from the salary funds of public service providers according to the law.
- Officials and public employees assigned by competent authorities to work in associations, non-governmental organizations, projects, and international agencies, and organizations based in Vietnam while still receiving salaries according to the salary scale.
- Individuals receiving salaries working within the staffing quota assigned by competent authorities at associations given tasks by the Communist Party and the State with state budget support funding.
- Cadres and officials at communes, wards, commune-level towns, and non-specialized individuals at the commune level, in villages, and residential groups.
- Representatives of the People's Council at all levels who receive operational expenses as prescribed by the current law.
- Individuals working within the cipher organization.
- Individuals working under labor contract policies specified in Decree 111/2022/ND-CP in cases where it applies or agreements in labor contracts apply wages according to Decree 204/2004/ND-CP.
- The following subjects apply to this Circular for calculating and determining the contribution level, enjoying social insurance benefits, and settling policies related to salaries according to the law:
+ Officials and public employees studying, interning, working, treating, or nursing (domestically and internationally) on the payroll of Communist Party agencies, the State, socio-political organizations, public service providers, and associations with state budget-supported operating funds.
+ Individuals in the internship or probation period (including commune-level officials' internships) in Communist Party agencies, the State, socio-political organizations, public service providers, and associations with state budget-supported operating funds.
+ Officials and public employees under temporary suspension, detention, or imprisonment.
