Time for calculation of seniority allowance for teachers in Vietnam

 Time for calculation of seniority allowance for teachers in Vietnam (Internet image)

Regarding this issue, LawNet would like to answer as follows:

1. Time for calculation of seniority allowance for teachers in Vietnam

Specifically, in Clause 1, Article 3 of Decree 77/2021/ND-CP, the time period for calculating seniority allowance in Vietnam is determined by the sum of the following periods:

- Time of teaching and education with compulsory social insurance payment in public educational institutions.

- Time of teaching and education with compulsory social insurance payment in non-public educational institutions
(for teachers who are teaching and educating in public educational institutions who have previously taught and educated in non-public educational institutions).

- Working time for which seniority allowance is calculated, including: Paid working time according to one of the ranks or titles of the specialized customs, court, procuratorate, audit, inspector, civil judgment enforcement, ranger, national reserve, or party inspection; working time is calculated for seniority allowance in the army, police, or cipher, and working time is calculated for seniority in other professions (if any).

- The period of military service, according to the law, before going to military service, is being calculated for the seniority allowance.

2. The period of not counting the seniority allowance for teachers in Vietnam

According to Clause 2, Article 3 of Decree 77/2021/ND-CP, the period for which the seniority allowance is not calculated includes:

- Apprenticeship time.

- The period of personal leave without salary continuously for 01 month or more.

- The period of sick and maternity leave exceeds the time limit prescribed by the law on social insurance.

- The time spent working as an expert, studying, practicing, working, or surveying at home and abroad exceeds the time limit decided by the competent authority.

- The period of being temporarily suspended from work or being held in custody or temporary detention in service of investigation, prosecution, and adjudication.

- Working time other than those specified at Points a, b, c, d, and dd, Clause 2, Article 3 of Decree 77/2021/ND-CP.

3. Teacher seniority allowance in Vietnam

Pursuant to Article 4 of Decree 77/2021/ND-CP, the levels of seniority allowance for teachers are as follows:

- Teachers participating in teaching and education who have paid compulsory social insurance for 5 years (60 months) shall be entitled to a seniority allowance equal to 5% of the current salary plus the allowance for leadership positions and the allowance for overtime beyond the bracket (if any). From the sixth year onwards, each year (full 12 months) is charged 1% more.

- The seniority allowance is calculated and paid during the same monthly salary period and is used to calculate the payment and enjoyment of social insurance, health insurance, and unemployment insurance.

- How to calculate the monthly seniority allowance:

4. Funding sources for the implementation of the seniority allowance system for teachers in Vietnam

The funding sources for the implementation of the seniority allowance for teachers are specified in Article 5 of Decree 77/2021/ND-CP as follows:

- Funds for the implementation of the seniority allowance regime for teachers shall be used from the lawful revenue of the unit and the funding source guaranteed by the state budget, specifically:

+ For public educational institutions that self-finance recurrent and investment expenditures and public educational institutions that self-finance recurrent expenditures: Funds for the implementation of the seniority allowance regime are guaranteed from the non-business revenue of the unit.

+ For public educational institutions that cover part of their recurrent expenditures by themselves: Funds for the implementation of the seniority allowance regime is guaranteed from the non-business revenue of the unit and the state budget allocated according to the current state budget management decentralization.

+ For public educational institutions whose recurrent expenditure is guaranteed by the State: Funds for the implementation of the seniority allowance regime shall be guaranteed by the state budget and allocated in the educational institution's annual budget estimates according to the current state budget management decentralization.

- In case the State makes adjustments to the base salary, ministries, central agencies, provinces, and centrally run cities are responsible for organizing, guiding, approving, and synthesizing demand reports, the funding source for the implementation of the seniority allowance for teachers on the demand for salary reform according to the current regulations on determining needs and funding sources for adjusting the annual base salary;

Submit to the Ministry of Finance for consideration and appraisal according to regulations.

Ho Quoc Tuan

>> CLICK HERE TO READ THIS ARTICLE IN VIETNAMESE