What are regulations on statutory pay rate in 2021 for officials and public employees in the new situation?

What are regulations on statutory pay rate in 2021 for officials and public employees in the new situation? (Illustrative image)

From 2021, the current regulations on statutory pay rate for officials and public employees has not been abolished yet in Vietnam

In Resolution 27-NQ/TW of 2018, the Central Executive Committee introduced reforms on salary policies for officials and public employees, and the armed forces. Specifically, they will develop and promulgate 05 new salary tables based on job positions, titles, and leadership roles to replace the current salary system; transfer old salary arrangements to new ones ensuring that salaries are not lower than the current salaries. This includes:

- Salary table for positions applied to officials and public employees holding leadership roles (elected and appointed) within the political system from the Central to the commune level;

- Professional and occupational salary table for officials and public employees not holding leadership positions;

- Salary table for military officers, police officers, non-commissioned officers (based on positions, titles, and ranks);

- Salary table for professional soldiers, technical police;

- Salary table for defense laborers and police laborers (maintaining the salary correlation of the armed forces with administrative officials as currently).

At the same time, the statutory pay rate and current salary coefficients will be abolished, and a new basic salary will be established with specific amounts in the new salary tables. Numerous allowances for officials and public employees will also be abolished,...

According to earlier plans, during the meeting of the Central Steering Committee on salary policy reform, social insurance, and preferential treatment for people with meritorious services on March 4, 2020, chaired by Prime Minister Nguyen Xuan Phuc, the changes in salary policies for officials, public employees, and the armed forces mentioned above were expected to begin on July 1, 2021.

However, due to the impact of the Covid-19 pandemic, the salary policy reform for officials, public employees, and the armed forces under Resolution 27 will be postponed. Specifically, at the 13th meeting of the Central Executive Committee of the 12th Communist Party Congress from October 5 to 9, the Central Executive Committee of the Communist Party of Vietnam agreed with the Party committee of the Government of Vietnam’s recommendation to implement the new salary policies from July 1, 2022 (instead of 2021) for officials, public employees, the armed forces, and workers in enterprises as per Resolution 27-NQ/TW.

Therefore, from 2021, the statutory pay rate has not been abolished, and hence the salaries of officials and public employees will still be calculated as per the current formula.

What are regulations on statutory pay rate in 2021 for officials and public employees in the new situation?

On December 27, 2019, in Resolution 86/2019/QH14, the National Assembly directed the Government of Vietnam to adjust the statutory pay rate from 1.49 million VND/month to 1.6 million VND/month while adjusting pensions, social insurance allowances, monthly allowances as stipulated (for beneficiaries ensured by the State budget) and preferential allowances for people with meritorious services to the revolution in line with the statutory pay rate from July 1, 2020.

However, due to the outbreak of the Covid-19 pandemic, in Conclusion 77-KL/TW on June 5, 2020, and Resolution 122/2020/QH14 on June 19, 2020, the Politburo and the National Assembly agreed not to implement the statutory pay rate adjustment for officials, public employees, and the armed forces from July 1, 2020, until further notice.

At the same time, in clause 7 Article 3 of Resolution 128/2020/QH14 on the 2021 State budget estimate approved by the National Assembly on November 12, 2020, it was also agreed that in 2021, the statutory pay rate, poverty line, would not be adjusted. Furthermore, in 2020, there would be no statutory pay rate adjustment, pension adjustments, social insurance allowance adjustments, monthly allowance adjustments (for beneficiaries ensured by the State budget) or preferential allowances for those with meritorious services to the revolution. Resources would focus on combating the Covid-19 pandemic, mitigating natural disaster impacts, implementing previously established social security policies, and ensuring national defense, security, and diplomacy.

Thus, based on the above regulations, from January 1, 2021, the statutory pay rate for officials and public employees will remain at 1.49 million VND/month and will not increase to 1.6 million VND/month until further notice. With this unchanged statutory pay rate, salaries and various allowances for officials in 2021 will also be calculated as currently.

Ty Na

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