Hanoi, Vietnam: 7 Regulations regarding salary reform for officials, public employees, and armed forces in Vietnam from July 1, 2024

7 Regulations regarding salary reform for officials, public employees, and armed forces in Vietnam from July 1, 2024 (Internet image)t)

On June 21, 2024, the Central Executive Committee issued Conclusion 83-KL/TW on salary reform, pension adjustment, social insurance allowances, preferential allowances for those with meritorious services, and social allowances starting from July 1, 2024.

7 Regulations regarding salary reform for officials, public employees, and armed forces in Vietnam from July 1, 2024

According to this, the implementation of salary reform under Resolution 27-NQ/TW for officials, public employees, and armed forces faces many difficulties, obstacles, and inadequacies. Therefore, comprehensive, detailed, and thorough review and research are required. At the same time, numerous regulations of the Party and State need to be revised and supplemented to propose that the Central Government consider adjusting some contents of Resolution 27-NQ/TW to suit the actual situation. From this context and based on Resolution 27-NQ/TW, the Politburo assigns the Government Party Committee to direct the Government to implement public sector salary reform in a phased, logical, cautious, and feasible manner. Accordingly, 7 points will be implemented:

(1) Adjust the basic salary rate from 1.8 million VND to 2.34 million VND (an increase of 30%) starting from July 1, 2024.

(2) Implement the reward regime from July 1, 2024 (the reward fund is 10% of the basic salary fund). The reward regime will be linked to the responsibility of the head of the agency or unit in evaluating and classifying the performance of those receiving salaries, promptly motivating and encouraging officials, public employees, and armed forces to enhance the quality and efficiency of their work, contributing to the effectiveness of the political system’s activities; avoiding overlaps with the Law on Emulation and Commendation.

(3) Perfect the salary increase regime suitable to the transition of management and payment for officials, public employees, and armed forces.

(4) Define and provide clear guidance on 5 funding sources for the salary regime, including:

• From increased revenue and the remaining funds of localities allocated for salary reform in previous years.
• From the central government budget.
• From a portion of self-generated revenue.
• From 10% savings on increased regular expenditures.
• From funds obtained through staff reduction.

(5) Perfect the salary and income management mechanisms: Specify and guide 4 contents, including:

• The authority and responsibility of the head in evaluating, classifying officials, public employees, and civil servants for salary, reward, and task performance outcomes.
• The head's authority to use the salary fund and regular expenditure funding to hire experts, scientists, and talented individuals for the agency's or unit's mission and decide the income payment related to the assigned task.
• Expand the pilot application of increased salaries to some localities when conditions allow, as per the Resolution 27-NQ/TW policy.
• Salary and income management mechanisms suitable to the state budget's funding and self-generated revenue of public service delivery units.

(6) Implement the salaries and incomes of agencies and units currently applying specific financial and income mechanisms:

The Government Party Committee is assigned to: Direct the Government, relevant ministries, and agencies to continue reviewing the legal framework comprehensively to propose competent authorities consider and decide amending or abolishing the specific financial and income mechanism of specific agencies and units as appropriate; preserve the difference between the June 2024 salary and additional income of officials, public employees, and civil servants and their salaries from July 1, 2024 after amending or abolishing the specific financial and income mechanism. In the meantime, from July 1, 2024, the monthly salary and additional income calculated by the basic salary rate of 2.34 million VND/month according to the specific mechanism should not exceed the monthly salary and additional income enjoyed in June 2024.

(7) Regarding amendments and supplements to some allowance regimes: The Government Party Committee leads and directs research and decides on amendments and supplements to allowance regimes and specific regimes for the armed forces, allowances for officials, public employees, and civil servants in specific sectors, especially occupational allowances that arise unreasonable issues during implementation.

More details can be found in Conclusion 83-KL/TW dated June 21, 2024.

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