Reason for 30% increase in basic salary but only 15% increase in pension
At the press conference announcing the results of the 7th session of the 15th National Assembly, Vice Chairman of the Social Committee Dang Thuan Phong explained the reason for the 30% increase in basic salary but the pension increase was only 15%.
The Vice Chairman of the Social Committee shared that many retirees also called him to ask about this issue.
He said that over the past time, pensions for retirees have been continuously raised, based on the increase in the consumer price index (CPI) and economic growth.
According to the calculation of the Steering Committee for Salary Reform with the number of pension increases in the past time, the pension increase of only 11.5% will be equal to 30% of the pension of officials and civil servants. However, determining the pension beneficiaries is difficult and when the salary increases, the price will increase, the Steering Committee for Salary Reform has considered a lot and determined to change from 11.5% to 15%.
After calculation, the Government decided to increase by 15%, which is a priority for retirees. If the CPI index is added up, the basic salary increase this time must be more than 30%.
The National Assembly has approved the salary increase, but the new salary table according to job positions and new allowance regime as required by Resolution 27 have not yet been built.
Responding to this issue, Mr. Dang Thuan Phong said that salary reform has been postponed three times and has not yet achieved the goal set in Resolution 27. "We are doing it carefully, firmly, and effectively. Why is the roadmap so long?", Mr. Phong asked.
The Steering Committee for Salary Reform has held 24-25 meetings, of which 4 contents have been implemented, while 2 contents have not been implemented yet.
Specifically, with the new salary table at the grassroots level and determining job positions, streamlining the payroll, and paying appropriate salaries for each position, Mr. Phong said: The reform process is long, but the determination of job positions is not synchronous and not unified between ministries, branches and localities.
The payroll of the armed forces has also fluctuated. For public service units, the number of full autonomy, regular expenditure and investment autonomy is very low, only 30%. The remaining 70% of the state budget still has to be spent.
Without job placement in such public institutions, it is very difficult to reform wages.
The Steering Committee's view is to postpone the salary reform time so that the Government can calculate carefully. The principle is to determine job positions based on streamlining the payroll, then different salary coefficients can be calculated, and then salary reform can be carried out.
In the coming time, the Government will review all salary tables and job positions to make specific calculations.
Another problem is the arrangement of 9 groups of allowances. The current salary structure is 40-60, meaning 40% allowance, 60% basic salary. According to the new design when rearranging 9 groups of allowances, the ratio is 30-70.
He emphasized that if not handled synchronously, many people will be disadvantaged. Compared to the current situation before salary reform, it will be higher if reform is applied, which does not encourage talent or effort.
If these 9 allowances are fully applied, there will be many inconsistencies that arise, are difficult to explain, and are not compatible with the beneficiaries. Therefore, the Steering Committee allows this part to be retained for calculation, research, and completion.
In addition, if salary reform is carried out, more than 20 legal documents related to basic salary must be amended, so the Government has not yet submitted them.
Mr. Phong added that the 10% bonus fund will be added, on that basis there will be a source of encouragement for each agency and unit when implementing salary reform.
