Increase pensions, social insurance benefits and monthly allowances from July 1, 2023

The official increase in pensions, social insurance benefits and monthly allowances from July 1, 2023 is the content of Decree 42/2023/ND-CP dated June 29, 2023.

Tăng lương hưu, trợ cấp bảo hiểm xã hội và trợ cấp hằng tháng từ ngày 1/7/2023

Officially increase pensions, social insurance benefits and monthly allowances from July 1, 2023. (Source: TVPL)

On June 29, 2023, the Government issued Decree 42/2023/ND-CP on adjusting pensions, social insurance benefits and monthly allowances.

Officially increase pensions, social insurance benefits and monthly allowances from July 1, 2023

Accordingly, the pension, social insurance benefits and monthly allowances are adjusted in Article 2 of Decree 42/2023/ND-CP from July 1, 2023 as follows:

(1) From July 1, 2023, pension, social insurance benefits and monthly allowances will be adjusted as follows:

- Increase by 12.5% on pension, social insurance allowance and monthly allowance of June 2023 for the following subjects in Clause 1, Article 1 of Decree 42/2023/ND-CP, which has been adjusted according to Decree 108/2021/ND-CP:

+ Cadres, civil servants, workers, public employees and laborers (including those who have participated in voluntary social insurance, retirees from the Nghe An farmers' social insurance fund transferred according to Decision 41/2009/QD-TTg); soldiers, people's police and people working in key positions who are receiving monthly pensions.

+ Commune, ward and town cadres are regulated in Decree 92/2009/ND-CP on titles, numbers, some regimes and policies for cadres, civil servants in communes, wards and towns and non-professional workers at the commune level, Decree 34/2019/ND-CP amending and supplementing some regulations on commune-level cadres, civil servants and non-professional workers at the commune level, in villages and residential groups, Decree 121/2003/ND-CP on regimes and policies for cadres, civil servants in communes, wards and towns and Decree 09/1998/ND-CP amending and supplementing Decree 50/CP on living allowance regime for commune, ward and town cadres who are receiving monthly pensions and allowances.

+ People who are receiving monthly allowances for loss of working capacity according to the provisions of law; people who are receiving monthly allowances according to Decision 91/2000/QD-TTg on allowances for people who are past working age at the time of stopping receiving monthly allowances for loss of working capacity, Decision 613/QD-TTg dated May 6, 2010 on monthly allowances for people with 15 to less than 20 years of actual work experience whose allowances for loss of working capacity have expired; rubber workers who are receiving monthly allowances according to Decision 206-CP dated May 30, 1979 on policies for newly liberated workers who do heavy work that is harmful to their health and now have to quit their jobs due to old age.

+ Commune, ward and town cadres are receiving monthly allowances according to Decision 130-CP dated June 20, 1975 of the Government Council supplementing policies and regimes of treatment for commune cadres and Decision 111-HDBT dated October 13, 1981 on amending and supplementing a number of policies and regimes for commune and ward cadres.

+ Soldiers who are receiving monthly allowances according to Decision 142/2008/QD-TTg on implementing the regime for soldiers who participated in the resistance war against the US to save the country with less than 20 years of service in the army and have been demobilized and returned to their localities (amended and supplemented by Decision 38/2010/QD-TTg).

+ People's Public Security officers are receiving monthly allowances according to Decision 53/2010/QD-TTg regulating the regime for People's Public Security officers and soldiers who participated in the resistance war against the US with less than 20 years of service in the People's Public Security who have quit their jobs and returned to their localities.

+ Soldiers, people's police, and people working in secretarial work receive salaries similar to those of soldiers and people's police who are receiving monthly allowances according to Decision 62/2011/QD-TTg on regimes and policies for those who participated in the war to protect the Fatherland, performed international missions in Cambodia, and helped Laos after April 30, 1975 and have been demobilized, discharged, or quit their jobs.

+ People receiving monthly occupational accident and disease benefits.

+ People receiving monthly pension benefits before January 1, 1995.

- Increase by 20.8% on pension, social insurance allowance and monthly allowance of June 2023 for subjects specified in Clause 1, Article 1 of Decree 42/2023/ND-CP that have not been adjusted according to Decree 108/2021/ND-CP.

(2) From July 1, 2023, people receiving pensions, social insurance benefits, and monthly allowances in Clause 2, Article 1 of Decree 42/2023/ND-CP, after adjustment according to the provisions in (1) of this section, with a benefit level lower than VND 3,000,000/month, will be adjusted to increase as follows:

Increase by 300,000 VND/person/month for those with benefits below 2,700,000 VND/person/month; increase by 3,000,000 VND/person/month for those with benefits from 2,700,000 VND/person/month to under 3,000,000 VND/person/month.

People receiving pensions, social insurance benefits, and monthly allowances in Clause 2, Article 1 of Decree 42/2023/ND-CP include the subjects specified in Points a, b, c, d, dd, e, and g, Clause 1, Article 1 of Decree 42/2023/ND-CP who retired from receiving pensions, social insurance benefits, and monthly allowances before January 1, 1995, after making adjustments according to the provisions of Clause 1, Article 2 of Decree 42/2023/ND-CP, with pensions, social insurance benefits, and monthly allowances of less than VND 3,000,000/month.

(3) The pension, social insurance allowance, and monthly allowance after adjustment according to the provisions of Article 2 of Decree 42/2023/ND-CP are the basis for calculating the adjustment of pension, social insurance allowance, and monthly allowance in subsequent adjustments.

Organization to adjust pension levels, social insurance benefits and monthly allowances from July 1, 2023

The organization will adjust pension levels, social insurance benefits and monthly allowances from July 1, 2023 according to Decree 42/2023/ND-CP as follows:

- The Minister of Labor, War Invalids and Social Affairs shall detail the adjustment for the subjects specified in Points a, b, c, h and i, Clause 1, Article 1 of Decree 42/2023/ND-CP.

- The Minister of Home Affairs shall detail the adjustment for the subjects specified in Point d, Clause 1, Article 1 of Decree 42/2023/ND-CP.

- The Minister of National Defense shall detail the adjustment for the subjects specified in Point d, Clause 1, Article 1 and the subjects under the responsibility for settlement specified in Point g, Clause 1, Article 1 of Decree 42/2023/ND-CP.

- The Minister of Public Security shall detail the adjustment for the subjects specified in Point e, Clause 1, Article 1 and the subjects under the responsibility for settlement specified in Point g, Clause 1, Article 1 of Decree 42/2023/ND-CP.

- The Ministry of Finance is responsible for ensuring funding for adjusting pensions, social insurance benefits, and monthly allowances for subjects guaranteed by the state budget.

- Vietnam Social Security is responsible for adjusting and paying pensions, social insurance benefits and monthly allowances for the subjects specified in points a, b, c, h and i, Clause 1, Article 1 of Decree 42/2023/ND-CP.

- The People's Committees of provinces and centrally run cities are responsible for organizing the adjustment and payment of monthly allowances to the subjects specified in points d, dd, e and g, Clause 1, Article 1 of Decree 42/2023/ND-CP.

Decree 42/2023/ND-CP takes effect from August 14, 2023, replacing Decree 108/2021/ND-CP. The provisions of Decree 42/2023/ND-CP are implemented from July 1, 2023.

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