Which Officials and Public Employees Will Receive the Highest Salary Increases from July 01, 2020 in Vietnam?

As Lawnet has informed our Customers and Members, recently, the Government of Vietnam has proposed to increase the statutory pay rate in 2020 to 1.6 million VND/month, and the majority of opinions in the Finance and Budget Committee agreed with this proposal.

 SALARY TABLE FOR ALL OFFICIALS, AND PUBLIC EMPLOYEES FROM JULY 01, 2020 (EXPECTED)

If this proposal is approved by the National Assembly, the statutory pay rate in 2020 will reach the highest level ever. Additionally, the statutory pay rate in 2020 in Vietnam will increase by 110,000 VND/month compared to 2019, marking the highest increase in statutory pay rate in recent years. With this increase, the salaries of officials and public employees will also be adjusted accordingly. So, which officials and public employees will receive the most significant salary increase when the statutory pay rate is adjusted to 1.6 million VND/month?

According to Lawyer Bui Tuong Vu, Chairman of the Board of Members of the Legal Secretary: "The increase in the statutory pay rate for officials and public employees to 1.6 million VND per month from July 01, 2020, is essential. Salaries must truly be the primary source of income to ensure the livelihood of officials and public employees and their families; periodic salary increases will create motivation to improve labor productivity and work efficiency of officials and public employees."

He also added: "According to Resolution 27/NQ-TW, from 2021, the salaries of officials and public employees will be stipulated in specific amounts in the new salary table instead of being calculated according to the coefficient and statutory pay rate as currently. Hopefully, with this wage policy reform, their livelihood will be somewhat ensured."

To facilitate our Customers and Members in tracking and comparing the highest expected salaries of officials and public employees starting from July 01, 2020, the Legal Secretary summarizes them in the table below:

 

Field of Operation

Highest Salary Coefficient

Position with the Highest Coefficient

Salary from July 01, 2019

Salary from July 01, 2020

(Expected)

Salary Increase

State Leadership Officials

13.0

President

19,370,000 VND/month

20,800,000 VND/month

1,430,000 VND/month

Military Officers, Police Officers and Non-Commissioned Officers

10.4

General

15,496,000 VND/month

16,640,000 VND/month

1,144,000 VND/month

Officials in State Agencies

8.0


(Grade 6, Official Category A3, Group 1)

Senior Specialist

11,920,000 VND/month

12,800,000 VND/month

880,000 VND/month

Senior Inspectors

Senior Tax Auditors

Senior Auditors

Senior Bank Supervisors

Senior Customs Supervisors

Senior Appraisers

Senior Market Supervisors

Senior Statisticians

Senior Product Quality Supervisors

Senior Executors (Civil Judgment Enforcement)

Senior Verifiers (Civil Judgment Enforcement)

Senior Tax Auditors

Lecturers in Public Schools

8.0


(Grade 6, Public Employee Category A3, Group 1)

Professor - Senior Lecturer

11,920,000 VND/month

12,800,000 VND/month

880,000 VND/month

Doctors in Public Hospitals

8,0

Senior Doctor

11,920,000 VND/month

12,800,000 VND/month

880,000 VND/month

Teachers in Public Schools

6.38 (Grade 6, Public Employee Category A2, Group 2)

Senior High School Teacher

9,506,200 VND/month

10,208,000 VND/month

701,800 VND/month

Notes:

1. Salary = Salary Coefficient x Statutory Pay Rate.

In which:

- Statutory pay rate from July 01, 2019: 1,490,000 VND/month;- Expected statutory pay rate from July 01, 2020: 1,600,000 VND/month.

2. The year 2020 will be the last year officials and public employees receive salaries based on coefficients and statutory pay rate. From 2021, their salaries will be specified in exact amounts in the new salary table.

Legal Bases:

♦ Report evaluating the State Budget implementation in 2019, the State Budget estimate, and the Central Budget allocation plan for 2020 in Vietnam.

♦ Decree 38/2019/ND-CP;

♦ Decree 204/2004/ND-CP;

♦ Decree 17/2013/ND-CP;

♦ Resolution 730/2004/NQ-UBTVQH11;

♦ Joint Circular 10/2015/TTLT-BYT-BNV.

Nguyen Trinh

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