What is a Public Non-business Unit?

According to the provisions of the Public Employee Law 2010, a public service provider is an organization established by a competent state authority, political organization, or socio-political organization in accordance with the law. This organization possesses legal status, provides public services, and serves state management.

Public service providers include:

- Public service providers granted full autonomy in performing tasks, finances, organizational apparatus, and personnel (hereinafter referred to as autonomous public service providers);- Public service providers not granted full autonomy in performing tasks, finances, organizational apparatus, and personnel.

For example:

- The University of Economics and Law, under the Vietnam National University Ho Chi Minh City, is a public service provider.- The Southern National Funeral Management Board is a public service provider under Military Hospital 175.

When discussing the autonomy of public service providers, it can be understood as autonomy in the following aspects:

- Autonomy in task performance, including planning and implementation;- Autonomy in organization;- Autonomy in personnel;- Autonomy in pricing and service fees;- Autonomy in finances.

The classification of a public service provider is based on various factors such as:

- The degree of financial autonomy and the ability to ensure operational activities;- The operational mechanism of the public service provider;- The characteristics and nature of each field of operation;- Actual conditions;- Management requirements for each type of public service provider as well as the level of management capacity in these units.

In recent years, there have been significant regulatory changes related to public service providers. Specifically, the Decree No. 55/2012/ND-CP stipulates the separation of matters related to the establishment, reorganization, and dissolution of public service providers, distinct from administrative agencies, and annuls previous regulations contrary to Decree No. 55/2012/ND-CP.

Decree No. 55/2012/ND-CP also states that one of the conditions for dissolving a public service provider is “three consecutive years of failing to complete tasks or maintaining ineffective operations as evaluated by the authority that established it”. Compared to previous regulations, this is a new point aimed at promoting the self-reliance of public service providers, overcoming the dependency on the state prevalent amongst most current public service providers.

Additionally, there has been decentralization in the authority to establish, reorganize, and dissolve public service providers.

The state continuously implements policies to enhance the operational efficiency and service quality of public service providers, effectively execute the state's social policies, and ensure fairness among all entities providing goods and services across the entire economy.

Related documents:

Public Employee Law 2010

Decree No. 55/2012/ND-CP on the establishment, reorganization, and dissolution of public service providers

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