Minister of Home Affairs Pham Thi Thanh Tra said that in addition to the plan to increase the basic salary by 30% from 1.8 million to 2.34 million, the Government also proposed that the National Assembly allow a 15% increase in pensions and social insurance benefits from July 1.

For those receiving pension before 1995, after adjustment, if the benefit level is lower than 3.2 million VND/month, the adjustment will increase by 0.3 million VND/month, if the benefit level is from 3.2 million VND/month to less than 3.5 million VND/month, the adjustment will be equal to 3.5 million VND/month.

LuongHuu
Nationwide, there are about 2.7 million elderly people receiving monthly pensions and social insurance benefits. Photo: XĐ

In addition, the Government also proposed to adjust the preferential allowance for meritorious people according to the standard allowance level from VND 2,055 million to VND 2,789 million/month (an increase of 35.7%, 5.7% higher than the 30% salary increase for civil servants); maintaining the current correlation between the preferential allowance levels for meritorious people compared to the standard allowance level.

At the same time, adjust social allowance according to the social assistance standard from 360,000 VND to 500,000 VND/month (an increase of 38.9%).

Use salary reform resources for pension adjustments

The simultaneous implementation of adjustments to pensions, social insurance benefits, preferential benefits for meritorious people and social benefits must follow the principles of Resolution No. 28 of the 12th Central Committee and current legal regulations to ensure consistency.

To implement these policies, the Government proposes to allow the expansion of the scope of using the accumulated salary reform resources of the central and local budgets to spend on adjusting pensions, social insurance benefits, preferential benefits for people with meritorious services, social subsidies, social security policies and streamlining payrolls.

Previously, Vietnam Social Security proposed to adjust pensions from July 1, 2024 by about 8%. Thus, the latest proposal from the Government is nearly double.

According to statistics, by the end of 2023, the whole country will have about 2.7 million elderly people receiving monthly pensions and social insurance benefits; more than 18.2 million people participate in social insurance, of which more than 1.7 million people participate in voluntary social insurance.

In order to ensure the lives of retirees, from 1995 to the end of 2023, the National Assembly and the Government have adjusted pensions 23 times.

After many adjustments, the current pension level of retirees has increased from 21 to 26 times compared to the pension level in 1995.

Currently, pensioners from the Social Insurance Fund receive an average of 5.6 million VND/person/month; while pensioners from the State budget receive 4.7 million VND/person/month.

'There were times when we considered very heavily to choose to increase the base salary by 30%'

'There were times when we considered very heavily to choose to increase the base salary by 30%'

"The Prime Minister, the Government Standing Committee, and we had to spend a lot of time thinking and considering the options. In the end, choosing the option of increasing the basic salary was the most optimal," the Minister of Home Affairs shared.
Minister of Home Affairs: Competent authorities agree to increase basic salary by 30%

Minister of Home Affairs: Competent authorities agree to increase basic salary by 30%

Minister of Home Affairs Pham Thi Thanh Tra said the Government proposed to the National Assembly to allow the basic salary and salary coefficient to be maintained, but to adjust the basic salary from the current VND1.8 million to VND2.34 million/month - an increase of 30%, the highest ever.
Salary reform along with increased pensions and social insurance benefits from July 1, 2024

Salary reform along with increased pensions and social insurance benefits from July 1, 2024

The National Assembly resolved that from July 1, 2024, salary reform will be implemented along with adjustments to pensions, social insurance benefits, and monthly allowances.