To assign HCMC some authority to implement salary policies in Vietnam

The content is mentioned in Resolution 98/2023/QH15 on piloting specific mechanisms and policies for the development of Ho Chi Minh City issued by the National Assembly of Vietnam.

To assign HCMC some authority to implement salary policies in Vietnam (Internet image)

To assign HCMC some authority to implement salary policies

HCMC shall implement a mechanism to create a source for salary reform according to regulations.

After the City budget ensures sufficient resources to implement wage reform and social security policies for the whole period of budget stability according to the regulations of the competent authorities, the City People's Council is entitled to decide :

- Using the remaining salary reform funds of the City budget and allowing the subordinate budgets to use the remaining salary reform funds to invest in the development of socio-economic infrastructure within the budget's expenditure tasks, to spend additional income on the basis of compliance with the provisions of Point b, Clause 5, Article 9 of Resolution 98/2023/QH15;

- Rate of deduction of retained earnings to create a source of salary reform for agencies and units under their management that have large revenues accordingly; ensuring the principle that these agencies and units can arrange their own sources of salary reform according to the roadmap decided by the competent authority; the state budget does not supplement to implement salary reform for these agencies and units;

- Allowing state administrative agencies, political organizations, socio-political organizations, and public non-business units managed by the City to use the resources to carry out residual wage reform to increase spending on investment, procurement, and professional activities of agencies, organizations, and units, spending additional income on the basis of compliance with the provisions of Point b, Clause 5, Article 9 of Resolution 98/2023/QH15.

Some other policies on finance and the state budget in Vietnam

For example, the policies on fees and charges are regulated as follows:

- The City People's Council decides to apply in the area: fees and charges not yet specified in the List of fees and charges promulgated together with the Law on Fees and Charges; to adjust the fee and charge collection rate or rate decided by the competent authority for the charges and fees specified in the List of fees and charges promulgated together with the Law on Fees and Charges, except for court fees, court fees, and fees belonging to the central budget's revenues, 100%;

- The City budget is entitled to 100% of the additional revenue from revenues due to the adjustment of the fee and fee policy specified at Point a of this Clause to invest in socio-economic infrastructure and other expenditure tasks under the expenditure tasks of the City budget; these revenues are not used to determine the percentage (%) of the revenues divided between the central budget and the city budget;

- The pilot implementation of the policy on fees and charges in the City as prescribed at Point a of this Clause must ensure a roadmap, suitable to the City's development capabilities and requirements; create a favorable business and production environment for enterprises; ensure market consistency, not obstruct the circulation of goods and services; make reasonable adjustments to goods, services, and lawful income sources of organizations and individuals in the city; and ensure publicity, transparency, and state administrative reform.

Based on the annual state budget estimate decided by the National Assembly, assigned by the Prime Minister, and the actual situation of the city, the City People's Council shall decide on the estimate and allocation of the city budget to ensure consistency with the orientation of state budget restructuring, socio-economic development, and important fields as prescribed by the National Assembly and the Government.

More details can be found in Resolution 98/2023/QH15, effective as of August 1, 2023.

Duong Chau Thanh

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