9 groups of people will have their basic salary increased to 1.8 million VND/month from July 1

9 target groups include:

Cadres and civil servants from the central to district level are specified in Clause 1 and Clause 2, Article 4 of the Law on Cadres and Civil Servants 2008 (amended and supplemented in the Law amending and supplementing a number of articles of the Law on Cadres and Civil Servants and the Law on Public Employees 2019).

Commune-level cadres and civil servants are specified in Clause 3, Article 4 of the Law on Cadres and Civil Servants 2008 (amended and supplemented in the Law amending and supplementing a number of articles of the Law on Cadres and Civil Servants and the Law on Public Employees 2019).

Civil servants in public service units as prescribed in the Law on Civil Servants 2010 (amended and supplemented in the Law on amending and supplementing a number of articles of the Law on Cadres, Civil Servants and the Law on Civil Servants 2019).

People who work under the labor contract regime prescribed in Decree No. 111/2022/ND-CP of the Government on contracts for certain types of work in administrative agencies and public service units are eligible or have an agreement in the labor contract to apply salary classification according to Decree No. 204/2004/ND-CP of the Government on salary regime for cadres, civil servants, public employees and armed forces.

People working within the payroll quota at associations are supported by the State budget for operating expenses according to the provisions of Decree No. 45/2010/ND-CP of the Government regulating the organization, operation and management of associations (amended and supplemented in Decree No. 33/2012/ND-CP).

Officers, professional soldiers, non-commissioned officers, soldiers, workers, defense officials and contract workers of the Vietnam People's Army.

Officers, salaried non-commissioned officers, non-commissioned officers, conscripts, police workers and contract workers of the People's Public Security.

People working in key organizations.

Non-professional activists at commune, village and residential group levels.

Civil servants in public service units are among the groups eligible for salary increases. Photo: Hoang Ha

The Decree clearly states that the basic salary is used as the basis for: Calculating salary levels in salary tables, allowance levels and implementing other regimes according to the provisions of law for specified subjects; calculating operating expenses and living expenses according to the provisions of law; calculating deductions and regimes enjoyed according to the basic salary level.

The Government said that the monthly salary and income increase calculated based on the basic salary of 1.8 million VND/month from July 1, 2023 under a special mechanism will ensure that it does not exceed the average salary and income increase in 2022 (excluding the salary and income increase due to the adjustment of the salary coefficient according to the rank and grade when upgrading the rank and grade).

The Government submitted to the National Assembly for consideration to adjust the basic salary in accordance with the state budget capacity, consumer price index and economic growth rate of the country.

Implementation costs

ForMinistries, ministerial-level agencies, government agencies, other central agenciesUse 10% of the regular expenditure savings (excluding salaries, salary allowances, salary-related expenses and human expenses according to the regime) in the 2023 budget, which is increased compared to the 2022 budget assigned by the competent authority.

Administrative agencies and public service units that collect fees shall make provisions to create a source for salary reform from a portion of the fee revenue retained according to regulations after deducting costs directly related to service provision and fee collection activities. Use the unused source for salary reform in 2022 to carry over (if any).

Forprovinces and citiesUse 10% of regular expenditure savings (excluding salaries, salary allowances, salary-related expenses and human expenses according to the regime) in the 2023 budget assigned by competent authorities.

Use 70% of the increased local budget revenue compared to the estimate assigned by the Prime Minister.

Use unused resources to implement salary reform in 2022 to carry over (if any).

Use at least 40% of the retained revenue according to the 2023 regime after deducting costs directly related to service provision and fee collection. Particularly, for revenue from the provision of medical examination and treatment services, preventive medicine and other medical services of public health facilities, use at least 35%. The scope of deducting the retained revenue is implemented according to the Ministry of Finance's guidance on the needs and sources for salary reform implementation in 2023.