7 outstanding policies effective from October 2018

1. Simplify business registration procedures

Decree 108/2018/ND-CP amends many regulations on business registration (BRC) in the current Decree 78/2015/ND-CP, accordingly:

- Enterprises are not required to stamp the application for business registration, notice of change of business registration content, resolutions, decisions, and meeting minutes in the business registration dossier;

- Enterprises can register to change the type of enterprise and simultaneously register to change the contents of the enterprise registration, notify changes to other contents of the enterprise registration, except in the case of registering to change the legal representative;

- Supplement specific regulations on business registration based on conversion from business households;

- Enterprises do not necessarily have to establish a business location in the province or centrally-run city where the enterprise has its headquarters or branch...

The Decree takes effect from October 10, 2018.

2. New guidance on electricity pricing for tenants

According to Circular 25/2018/TT-BCT of the Ministry of Industry and Trade, the calculation of electricity prices for students and workers renting houses (not a family) is as follows:

- If the tenant has a lease contract of 12 months or more and has a temporary residence registration, the landlord directly signs the electricity purchase contract or the tenant's representative signs the electricity purchase contract (with the landlord's commitment to pay the electricity bill);

- If the tenant has a lease contract of less than 12 months and the landlord cannot fully declare the number of electricity users, the retail price of household electricity level 3 will be applied: From 101 - 200kWh for the entire electricity output measured at the meter.

If the number of electricity users is fully declared, the homeowner will be granted an electricity usage quota according to the principle that every 4 people is counted as 1 household using electricity.

The Circular takes effect from October 26, 2018.

3. Without collateral, farmers can still borrow up to 200 million

According to Decree 116/2018/ND-CP of the Government amending Decree 55/2015/ND-CP on credit policy for agricultural and rural development, the loan level for individuals and households engaged in production and business activities in the agricultural sector will be increased. Specifically as follows:

- Individuals and households residing in rural areas can borrow from banks without collateral up to 200 million VND (previously 100 million VND);

- Individuals and households residing outside rural areas with agricultural production and business activities can borrow from banks without collateral up to a maximum of 100 million VND (previously 50 million VND)...

The Decree takes effect from October 25, 2018.

4. Support for households producing organic products

Organic agricultural production is the practice of not using chemical fertilizers, herbicides and pesticides... Households, small businesses, cooperatives, and farms producing this agricultural product will receive many supports - according to Decree 109/2018/ND-CP of the Government.

Specifically, the above subjects will be supported 100% of the cost of identifying regions and areas eligible for organic production; 100% of the cost of issuing TCVN product certification on organic agriculture; Support for training and coaching on organic production; Support for building and replicating organic production models...

The Decree takes effect from October 15, 2018.

5. Increase monthly allowance for discharged soldiers

This is the content of Circular 138/2018/TT-BQP guiding the adjustment of monthly allowances for discharged and retired soldiers.

Accordingly, from July 1, 2018, the monthly subsidy for the above subjects will be increased by 6.92% on the subsidy level of June. Specifically, the new subsidy level is as follows:

- Working time from 15 years to less than 16 years, the allowance is 1,764 million VND/month

- Working time from 16 years to under 17 years, the allowance is 1,844 million VND/month;

- Working time from 17 years to under 18 years, the allowance is 1,925 million VND/month;

- Working time from 18 years to under 19 years, the allowance is 2,005 million VND/month;

- Working time from 19 years to under 20 years, the allowance is 2,085 million VND/month.

The Circular takes effect from October 14, 2018.

6. Supplementing cases of streamlining payroll

Decree 113/2018/ND-CP of the Government amends and supplements Decree 108/2014/ND-CP on staff streamlining policy, including:

- Cadres, civil servants, and leaders who cease to hold their positions due to organizational restructuring, voluntarily reduce staffing levels, and are approved by the directly managing agency or unit.

- Those who are cadres, civil servants, and public employees who are transferred by competent authorities to work at associations are assigned payroll and the state budget supports the cost of paying salaries...

The Decree also stipulates: When streamlining the payroll is not implemented for the right subjects, the person who has benefited from the streamlining policy must return the amount actually received. If that person has passed away, this amount of money will be paid by the agency or organization that directly manages that person using regular funds, the State budget will not supplement the funds.

This Decree takes effect from October 15, 2018.

7. Standards for teachers teaching at foreign language centers

According to Circular 21/2018/TT-BGDDT on the Regulations on organization and operation of foreign language and information technology centers, Vietnamese teachers teaching at foreign language centers must meet one of the following standards: Have a college degree in foreign language education or higher; have a college degree in foreign language or higher and a certificate of pedagogical skills.

- A foreign teacher is qualified to teach a foreign language when he/she meets one of the following criteria: has a college degree in foreign language pedagogy or higher; has a college degree in foreign language or higher and a suitable foreign language teaching training certificate; has a college degree or higher, a foreign language proficiency certificate of level 5 or higher according to the 6-level foreign language proficiency framework for Vietnam or equivalent and a suitable foreign language teaching training certificate.

The Circular takes effect from October 10, 2018.