Pension and Insurance Benefits Increase by 7.4% from July 01, 2017

Here is the main content of the Draft Decree on adjusting pensions, social insurance (SI) allowances, and monthly allowances for retired commune officials (referred to as the Draft Decree) currently under consultation and feedback.

Resolution 27/2016/QH14 passed by the National Assembly of the Socialist Republic of Vietnam, Session XIV, at its Second Meeting on November 11, 2016, stipulates the adjustment of the statutory pay rate to increase to 1.3 million VND/month. Concurrently, it also adjusts the increase in pensions, social insurance benefits (BHXH), and preferential allowances for those with meritorious services by the same rate increase in the statutory pay rate from July 1, 2017.

In accordance with the directives of the aforementioned Resolution 27, the Draft Decree proposes a 7.4% increase in pensions and benefits. Specifically:

From July 1, 2017, a 7.4% increase in the level of pensions, social insurance benefits (BHXH), and monthly allowances for the following subjects:

- Officials, workers, public employees, and laborers (including those who have participated in voluntary social insurance, those retiring from the Nghe An Farmers' Social Insurance Fund transferred according to Decision 41/2009/QD-TTg dated March 16, 2009; military personnel, public security officers, and those working in cryptography currently receiving monthly pensions);- Commune-level officials and public employees under Decree 92/2009/ND-CP, Decree 121/2003/ND-CP, and Decree 09/1998/ND-CP;- Individuals currently receiving monthly loss of working capacity allowances as specified by law; individuals receiving monthly allowances under Decision 91/2000/QD-TTg dated August 4, 2000, Decision 613/QD-TTg dated May 6, 2010; rubber workers currently receiving monthly allowances;- Commune-level officials currently receiving monthly allowances under Decision 130/CP dated June 20, 1975, by the Council of the Government of Vietnam and Decision 111-HDBT dated October 13, 1981, by the Council of Ministers.- Military personnel currently receiving monthly allowance policies under Decision 142/2008/QD-TTg dated October 27, 2008, Decision 38/2010/QD-TTg dated May 6, 2010;- Public security officers currently receiving monthly allowances under Decision 53/2010/QD-TTg dated August 20, 2010;- Military personnel, public security officers, and those working in cryptography receiving salaries equivalent to military personnel, public security officers currently receiving monthly allowances under Decision 62/2011/QD-TTg dated November 9, 2011.

The adjustment of pensions, social insurance benefits, and monthly allowances will be ensured to be implemented from the state budget funds and the Social Insurance Fund.

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