Use salary fund to hire talented people, abolish a series of allowances
General Secretary Nguyen Phu Trong signed and issued Resolution No. 27-NQ/TW, dated May 21, 2018 of the 7th Central Conference, Session XII on reforming salary policy for cadres, civil servants, public employees, armed forces and employees in enterprises, which clearly stated the following content: Abolishing a series of allowances, using salary funds to hire talented people.
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| How will civil servant and officer salaries change? |
Abolish a series of allowances
The resolution requires rearranging current allowance regimes, ensuring that the total allowance fund accounts for a maximum of 30% of the total salary fund.
Accordingly, continue to apply allowances for holding concurrent positions; seniority allowances exceeding the framework; regional allowances; job responsibility allowances; mobility allowances; security and defense service allowances and special allowances for armed forces (army, police, and cryptography).
Merge occupational allowances, occupational responsibility allowances and hazardous and dangerous allowances (collectively called occupational allowances) applied to civil servants and public employees of occupations and jobs with higher than normal working conditions and with appropriate preferential policies of the State (education and training, health, courts, prosecution, civil judgment enforcement, inspection, examination, auditing, customs, forestry, market management, etc.). Merge special allowances, attraction allowances and long-term work allowances in areas with particularly difficult socio-economic conditions into work allowances in particularly difficult areas.
Abolish seniority allowances (except for the military, police, and cryptography to ensure salary correlation with cadres and civil servants); leadership position allowances (due to salary ranking for leadership positions in the political system); allowances for party work and political-social organizations; public service allowances (due to being included in the basic salary); toxic and dangerous allowances (due to including working conditions with toxic and dangerous factors in occupational allowances).
New regulations on allowance regime according to administrative unit classification for commune, district and provincial levels.
Consistently allocate monthly allowances to part-time workers at the commune, village and residential group levels based on the regular expenditure ratio of the People's Committee at the commune level; at the same time, stipulate the maximum number of part-time workers at each type of commune, village and residential group level. On that basis, the People's Committee at the commune level shall submit to the People's Council at the same level for specific regulations on positions eligible for allowances in the direction that one position can undertake many tasks but must ensure the quality and effectiveness of the assigned work.
Use salary fund to hire talented people
Regarding salary and income management mechanism: Heads of agencies, organizations and units are allowed to use the salary fund and regular expenditure budget assigned annually to hire experts, scientists and people with special talents to perform the tasks of the agency, organization or unit and decide on the income payment level commensurate with the assigned tasks.
The head of an agency, organization, or unit shall develop regulations for periodic rewards for those under his or her management, linked to the results of the assessment and classification of each individual's level of work completion.
Expand the pilot mechanism to a number of provinces and centrally run cities that have balanced their budgets and ensured sufficient resources to implement salary reform. Social security policies are allocated with an average income increase of no more than 0.8 times the basic salary fund of cadres, civil servants and public employees under their management.
Public service units that self-insure regular and investment expenditures, or self-insure regular expenditures and state financial funds outside the state budget are allowed to implement a salary autonomy mechanism based on performance results like enterprises.
Public service units that partially self-insure regular expenses and public service units whose regular expenses are fully covered by the state budget shall apply the same salary regime as civil servants. Actual salary paid is linked to the job position and professional title of the civil servant, decided by the head of the public service unit on the basis of revenue (from the state budget and from the unit's revenue), labor productivity, work quality and work efficiency according to the unit's salary regulations, not lower than the salary regime prescribed by the State.
