Teachers' salaries in Vietnam will not increase according to the roadmap from 2021 yet

According to Resolution 27-NQ/TW, starting from 2021, a salary reform policy for officials and public employees will be implemented. Teachers' salaries will increase significantly according to the plan. However, due to the impact of Covid-19, this policy has been postponed.

Teacher  Salaries

Teachers' salaries in Vietnam will not increase according to the roadmap from 2021 yet (Illustration image)

According to Resolution 27-NQ/TW, the Central Executive Committee set a goal to apply new unified salary policies for officials and public employees, armed forces throughout the entire political system in Vietnam from 2021. At the same time, the increase in salaries for officials and public employees in Vietnam will be implemented according to the following schedule:

- In 2021, the lowest salary of officials and public employees will be equal to the average lowest salary of various regions in the enterprise sector.

- By 2025, the lowest salary of officials and public employees will be higher than the average lowest salary of various regions in the enterprise sector.

- By 2030, the lowest salary of officials and public employees will be equal to or higher than the lowest salary of the highest region in the enterprise sector.

If currently, the salaries of officials and public employees (in the public sector) in general and teacher salaries specifically are significantly lower than those of workers in the private sector, according to the spirit of Resolution 27-NQ/TW, this disparity will gradually narrow.

Additionally, officials and public employees will periodically receive salary adjustments appropriate to the consumer price index, economic growth rate, and the state budget’s capacity. A new salary table system based on job positions, titles, and leadership positions will be developed and issued to replace the current salary table system.

However, due to the impact of Covid-19 in Vietnam, the wage reform policy for officials and public employees, including the planned salary increase schedule, has been postponed. To be specific, at the 13th Conference of the Central Executive Committee of the Communist Party, 12th term from October 5 - 9, the Central Executive Committee of the Communist Party agreed with the recommendation of the Party Central Committee of the Government of Vietnam on implementing the new salary policy from July 1, 2022, instead of 2021 as previously planned.

Overall, Covid-19 has greatly affected the salary policy for officials and public employees, including teachers' salaries. Teachers’ salaries will not increase according to the previously proposed schedule in Resolution 27-NQ/TW.

Currently, based on Decree 204/2004/ND-CP, teachers’ salaries in Vietnam are calculated using the formula:

Salary = Coefficient x Statutory Pay Rate

The Covid-19 pandemic not only affects the wage reform policy but also impacts the plan to increase the statutory pay rate. According to Resolution 86/2019/QH14 on the State Budget Estimate for 2020, the National Assembly assigned the Government of Vietnam to adjust the statutory pay rate from 1.49 million VND/month to 1.6 million VND/month (an increase of 110,000 VND/month) from July 1, 2020. If this plan was followed, when the statutory pay rate increased, the monthly salary of teachers would also increase accordingly. However, along with the wage reform policy, the plan to increase the statutory pay rate was also postponed due to the impact of Covid-19. Therefore, teachers’ salaries will remain the same as they are now.

Thuy Tram

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