What is the Salary Grade?

When constructing a payroll table, it is necessary to base it on the position title or group of job titles and tasks of each person to ensure appropriateness. It is particularly important to consider the salary grade of each individual to determine their salary level. How is the salary grade understood?

In the payroll table, there may be one or more salary ranks, which represent different levels of qualification and job positions. Within a rank, there is a standard salary level and several seniority levels. Therefore, the increase in salary within the same rank mainly depends on the level of job performance and the seniority in holding the level, but when moving from a lower rank to a higher rank, a rank promotion exam is required.

Even in the same position and performing the same tasks, the ability to handle work varies, with some individuals processing work faster and having the capability to undertake more tasks, leading to a higher workload and better quality outcomes; thus, the salary should be different.

Through the salary rank, it is possible to determine the professional level, job position of the worker.

In each type of company, business field, depending on the scale, number of employees, job positions being recruited, there are different salary rank codes. For example, A1, A2, A3, etc., will correspond to the professional training levels.

In state agencies, there will be different official ranks such as specialist/senior specialist, accountant/senior accountant, inspector/senior inspector which correspond to different codes. Officials who want to change their rank code must take a promotion exam and meet certain conditions.

According to the provisions of Article 29 of Decree 24/2010/ND-CP, officials are eligible to register for the rank promotion exam when they meet the following criteria and conditions:

- Successfully fulfilling tasks for the most recent three continuous years; having good political quality and morality; not being under disciplinary action or having a notice of disciplinary consideration from the competent authority;- Possessing the capability, professional qualifications, and expertise to take on a job position that corresponds to a higher rank within the same professional domain as the current official;- Meeting the requirements in terms of degrees, certificates, and other criteria regarding professional standards for the rank the official is registering for.

The organization of the rank promotion exam for officials must ensure the principle of fair competition among officials within the same managing agency.

For more regulations on official rank promotions, see Decree 24/2010/ND-CP and the related guiding documents.

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