Hanoi-Vietnam: The increase in statutory pay rate in 2020 leads to simultaneous increase in 07 amounts paid to officials and public employees

PAYROLL APPLICABLE TO OFFICIALS AND PUBLIC EMPLOYEES FROM JULY 1, 2020

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>>>SEE MORE: From 2021, the salary paid to officials and public employees will be equal to the salary applied at enterprises

Along with this increase in the statutory pay rate, from July 1, 2020, many policies on pensions, social insurance, health insurance, and allowances will also be adjusted to benefit officials and public employees. To be specific:

1. Increase the monthly minimum pension

According to the provisions of Clause 5, Article 56 of the Law on Social Insurance 2014, the lowest monthly pension of employees participating in compulsory social insurance who are eligible for pension is equal to the statutory pay rate, except for the cases specified at Point i, Clause 1, Article 2 and Clause 3, Article 54 of this Law.

Therefore, with the increase in the statutory pay rate to 1,600,000 VND/month from 01/07/2020, this minimum pension will be 1,600,000 VND. (Currently, the minimum pension is 1,490,000 VND/month).

2. Increase the payment rate of the medical cost covered by health insurance to 100%

According to Point d, Clause 1, Article 14 of Decree 146/2018/ND-CP, health insurance participants when going for medical examination and treatment shall be paid by the Health Insurance Fund at the rate of 100% of the cost of medical examination and treatment. medical treatment if it is lower than 15% of the statutory pay rate.

Thus, from July 1, 2020, with a statutory pay rate of 1,600,000 VND/month, health insurance participants when going for medical examination and treatment are paid by the Health Insurance Fund at the rate of 100% of the cost of medical examination and treatment when the examination cost is lower than 240,000 VND (1,600,000 VND x 15% = 240,000 VND). Currently, this level is 223,500 VND.

3. Increase the lump-sum allowance for childbirth

According to the provisions of Article 38 of the Law on Social Insurance 2014, female employees who give birth or adopt children under 06 months old are entitled to a one-time allowance for each child equal to 02 times the statutory pay rate in the month in which the female employee gives birth or the month in which the employee adopts a child.

With the increase in the statutory pay rate to 1,600,000 VND/month, this allowance from July 1, 2020 will be 3,200,000 VND, an increase of 220,000 VND compared to the current (currently 2,980,000 VND/month).

Note, in case of giving birth to a child but only the father participates in social insurance, the father is entitled to a one-time allowance equal to 02 times the statutory pay rate in the month of birth for each child.

4. Increase the postpartum convalescence allowance

According to the provisions of Article 41 of the Law on Social Insurance 2014, female employees immediately after the period of enjoying the maternity regime specified in Article 33, Clause 1 or Clause 3, Article 34 of this Law, within the first 30 days of working but their health has not recovered, they are entitled to convalescence leave. health recovery from 05 days to 10 days. In which, the benefit level of convalescence and health rehabilitation after maternity is equal to 30% of the statutory pay rate.

Thus, with a statutory pay rate of 1,600,000 VND/month, from July 1, 2020, this benefit will be 480,000 VND/day, an increase of 33,000 VND/day compared to the current (currently 447,000 VND/day).

5. Increase funeral allowance

According to the provisions of the Law on Social Insurance 2014, in the month in which the persons specified in Clause 1, Article 66 of this Law die, the person in charge of the funeral is entitled to a one-time funeral allowance equal to 10 times the statutory pay rate.

Currently, this funeral allowance is 14.9 million VND, however, from July 1, 2020, with a statutory pay rate of 1,600,000 VND/month, the funeral allowance will be 16 million VND.

6. Increase the monthly survivorship allowance

According to the provisions of the Law on Social Insurance 2014, the persons specified in Clauses 1 and 3 of Article 66 fall into one of the cases specified in Clause 1, Article 67 of this Law when they die, each relative will receive a monthly survivorship allowance equal to 50% of the statutory pay rate ; in case the relative does not have a direct caregiver, the monthly survivorship allowance is equal to 70% of the statutory pay rate.

Thus, with the new statutory pay rate from July 1, 2020, this monthly weekly allowance will be 800,000 VND/month for each relative and 1,120,000 VND/month in case the relative does not have someone to directly raise him.

7. The maximum salary of officials and public employees is increased to 12.8 million VND/month

According to current regulations, the statutory pay rate will be used as a basis for calculating salaries in the salary tables specified in Decree 204/2004/ND-CP on the salary regime of officials, public employees and the armed forces. From July 1, 2020, the statutory pay rate serves as a basis for calculating the salary of officials and public employees will be 1,600,000 VND/month.

Currently, in the salary table in Decree 204/2004/ND-CP, the highest salary coefficient belongs to officials and public employees of class A3, grade 6 with a coefficient of 8.00, and the actual salary received will be 12.8 million VND/month from July 1, 2019, an increase of 880,000 VND compared to the current level and this is the maximum salary that officials, public employees are accepted.

At the same time, the lowest official salary will also be raised to 2.16 million/month for category C officials in group 3 with a salary coefficient of 1.35.

Nguyen Trinh