Policies for Civil Servants and Public Employees Entitled When Not Eligible for Early Retirement

On October 15, 2018, Decree 113/2018/ND-CP amending and supplementing a number of articles of Decree 108/2014/ND-CP on the policy of streamlining the workforce officially took effect.

Vietnamese official and public employees who are not eligible for early retirement under Article 8 of Decree 108, the State still supports the following policies after streamlining the workforce, specifically:

1. Policy to transition to work at organizations not regularly funded by the state budget

- To receive 3 months of current salary;- To receive 1/2 month of salary for each year of service with social insurance contributions.

2. Policy for immediate resignation

- To receive 3 months of current salary to find a job;- To receive 1.5 months of salary for each year of service with social insurance contributions.

3. Policy for resignation after vocational training

- To receive the full current monthly salary and the agency will pay social insurance and health insurance during the vocational training period, but the maximum period is 6 months;- To receive a vocational training cost allowance equal to the cost of the vocational course, which is a maximum of 6 months of the current salary, to be paid to the vocational training institution;- After completing vocational training, to receive 3 months of current salary at the time of training to find a job;- To receive 1/2 month of salary for each year of service with social insurance contributions;- The vocational training period is counted as continuous service time but not counted for seniority to increase the annual salary grade.

Calculations for the allowance are determined as follows:

- Monthly salary includes: salary according to grade, rank, or professional title or salary scale; position allowances, seniority allowances exceeding the framework, professional seniority allowances (if any), and retained differential (if any) according to legal provisions;- The monthly salary for calculating the allowance policies specified in Point b, Clause 1, Article 9; Points b, Clause 1, Point d, Clause 2, Article 10 of Decree 108 is the average actual monthly salary of the last 5 years (60 months) before streamlining. For cases with less than 5 years (less than 60 months) of service, the average actual monthly salary of the entire service period will be calculated;- The time used as the basis for calculating the age eligible for early retirement policy is the 1st day of the month immediately following the birth month of the individual; if the individual's documents do not specify the day and month of birth, the 1st day of January of the birth year will be used;- If the allowance calculation period has odd months, they are rounded according to the principle that less than 3 months are not counted; from 3 months to 6 months are counted as 1/2 year; from over 6 months to less than 12 months are rounded up to 1 year.

Note: To enjoy the above policies, the employee must fall under the workforce streamlining policies as per Decree 113 and Decree 108.

Legal Basis: Decree 113/2018/ND-CP, Decree 108/2014/ND-CP.

- Le Hai -

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