The lowest public sector salary will be equal to the average regional minimum wage of the business sector after salary reform, the Ministry of Home Affairs said.
On November 3, the Ministry of Home Affairs sent a report to National Assembly deputies stating that it has allocated enough budget to synchronously implement 6 salary reform contents. The Government has allocated 560,000 billion VND in salary fund, ensuring enough resources for salary reform in the 2024-2026 period.
Once the minimum wage in the public sector is equal to that of the business sector, the lives of those receiving salaries and allowances from the budget will improve. The new wage policy also limits the number of civil servants and public employees who quit their jobs or move from the public to the private sector. This is an incentive for them to improve their work efficiency, according to the Ministry of Home Affairs.
The salary of civil servants and public employees is calculated by multiplying the basic salary by the salary coefficient. From July 1, 2023, when the basic salary increases to 1.8 million VND, the highest salary of civil servants will be 14.4 million VND/month; the lowest will be 2.43 million VND/month.
Currently, the minimum monthly wage for employees working in enterprises in Region I is 4.68 million VND; Region II is 4.16 million, Region III is 3.64 million and Region IV is 3.25 million. This level has increased by 6% compared to before July 1, 2022.
Thus, after the minimum wage in the public sector is equal to that of the business sector, the salaries of officials, civil servants, public employees, and armed forces will be greatly improved compared to present.
Officials carry out administrative procedures for people at the People's Committee of Thu Duc City, Ho Chi Minh City, August 2022. Photo: Quynh Tran
According to the Ministry of Home Affairs, from 2015 to present, central and local agencies have streamlined 10% of civil servant payrolls and 11.6% of public employees, to create resources for salary reform.
However, the difficulty in salary reform is that the system of positions and jobs for cadres, civil servants and public employees in the political system is still being perfected. Some documents institutionalizing the Central Government's policy on salary reform are still slow. Guidance on the autonomy mechanism of public service units is not timely; socialization to reduce the number of people receiving salaries from the budget has not met the requirements.
"The conversion of old salaries to new salaries for leaders is complicated because many old salary levels, ranks, and different job titles are now classified into a new salary level. Therefore, some people are higher and some are lower," the report stated.
From now until the salary reform is implemented in mid-2024, the Ministry of Home Affairs will submit to competent authorities a list of positions for officials, civil servants, and public employees from the central to communal levels. Many financial solutions are being implemented to create sustainable sources for salary reform. The state apparatus is being reorganized to reduce the number of people receiving salaries and allowances from the budget.
Resolution 27/2018 of the Central Committee aims to reform the salaries of cadres, civil servants, public employees, armed forces and employees in enterprises from July 1, 2021. However, over the past two years, due to many adverse impacts, especially the Covid-19 pandemic, the roadmap for synchronous salary policy reform has not yet been implemented.
From mid-2024, civil servants and public employees nationwide will be paid according to their job position instead of the low salary policy that does not create motivation. The Ministry of Home Affairs has developed 6 specific contents of the new salary regime according to position, title, and job position.
Accordingly, there are 861 positions for cadres and civil servants, of which 137 are for the leadership and management group; 665 are for the specialized professional civil servant group; 37 are for the shared specialized professional civil servant group; and 22 are for the support and service group. There are 17 positions for commune-level cadres and civil servants, of which 11 are for full-time cadres and 6 are for commune civil servants. To date, 16/20 ministries and branches have issued specialized professional civil servant positions.
From 2025, salaries of cadres, civil servants, public employees, and armed forces will continue to increase by an average of 7% per year.
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