Officials and 05 Major Changes Regarding Salary Policies, Social Insurance

1. No more "Lifetime Employment" policies

Resolution 26-NQ/TW issued on May 19, 2018, outlines significant content regarding the building of a capable and reputable team of officials at all levels. One of the mentioned solutions and tasks is to move towards eliminating "lifetime employment"; simultaneously, a competitive job position mechanism should be established to enhance the quality of officials and public employees.

2. Abolishing the current statutory pay rate and salary coefficient

Resolution 27-NQ/TW highlights the policy of abolishing the current statutory pay rate and salary coefficient for calculating salaries of officials and public employees. Instead, the basic salary will be calculated using a specific amount in the new salary scale.

3. Several allowances and non-salary payments for officials and public employees to be abolished

According to Resolution 27-NQ/TW, in the upcoming time, several allowances for officials and public employees will be abolished. These include: Professional seniority allowance, leadership position allowance, party, political-social organization work allowances, public service allowance, and hazardous and dangerous allowance.

Additionally, non-salary payments such as: meeting allowances; allowances for drafting legal documents, projects; seminars, etc., will also be abolished.

4. Construction of 05 new salary scales based on position and title

To be specific as follows:

- 01 salary scale for positions applied to leadership positions;- 01 professional and professional salary scale according to official rank and public employee professional titles generally applied to officials and public employees without leadership positions;- 03 salary scales for armed forces: 01 salary scale for army officers, public security officers, non-commissioned officers; 01 salary scale for professional soldiers, technical public security professionals; and 01 salary scale for national defense workers, public security workers.

5. Reducing the duration of social insurance contributions to 10 years for retirement

According to Resolution 28-NQ/TW, the condition for pension benefits will be adjusted to gradually reduce the minimum number of years of social insurance contributions required for pension entitlement from 20 years to 15 years, eventually aiming for 10 years. This aims to create favorable conditions for older workers with a low number of social insurance contribution years to access and enjoy social insurance benefits.

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