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| Labor and salary policies take effect from July 1, 2023. (Source: TVPL) |
Basic salary for cadres, civil servants, public employees and armed forces from July 1, 2023
On May 14, 2023, the Government issued Decree 24/2023/ND-CP regulating the basic salary for cadres, civil servants, public employees and armed forces, effective from July 1, 2023.
Accordingly, the regulations on basic salary for cadres, civil servants, public employees and armed forces are as follows:
- Basic salary used as basis:
+ Calculate salary levels in salary tables, allowance levels and implement other regimes according to the provisions of law for subjects specified in Article 2 of Decree 24/2023/ND-CP;
+ Calculate operating and living expenses according to the provisions of law;
+ Calculate deductions and benefits based on basic salary.
- From July 1, 2023, the basic salary is 1,800,000 VND/month.
- Continue to implement special financial and income mechanisms for agencies and units that are implementing special financial and income mechanisms at the central level as prescribed by competent authorities for a number of state administrative agencies and units until implementing a comprehensive reform of salary policy according to Resolution 27-NQ/TW dated May 21, 2018 of the 7th Conference of the 12th Central Executive Committee;
The monthly salary and additional income increase is calculated based on the basic salary of VND 1,800,000/month from July 1, 2023 according to a special mechanism that ensures it does not exceed the average salary and additional income increase in 2022 (excluding the salary and additional income increase due to adjustment of salary coefficients according to grade and level when upgrading grades and levels).
Decree 24/2023/ND-CP stipulates the basic salary applicable to cadres, civil servants, public employees, salary and allowance recipients and employees working in agencies, organizations and public service units of the Party, the State, the Vietnam Fatherland Front, socio -political organizations and associations receiving state budget support for operating expenses at the central level, in provinces and centrally run cities (provincial level), in districts, towns, provincial cities, and centrally run cities (district level), in communes, wards and towns (commune level), in special administrative-economic units and the armed forces.
Guidance on implementing basic salary levels for cadres, civil servants and public employees from July 1, 2023
On June 26, 2023, the Minister of Home Affairs issued Circular 10/2023/TT-BNV guiding the implementation of basic salary levels for salary and allowance recipients in agencies, organizations, and public service units of the Party, State, Vietnam Fatherland Front, socio-political organizations, and associations.
Accordingly, instructions on how to calculate salaries and allowances for cadres, civil servants, public employees and employees are prescribed in Clauses 1, 2, 3, 4, 5, 8 and 9, Article 1 of Circular 10/2023/TT-BNV:
Based on the current salary and allowance coefficients prescribed in documents of competent agencies of the Party and State on salary regimes for cadres, civil servants, public employees and armed forces, the basic salary level prescribed in Decree 24/2023/ND-CP to calculate the salary level, allowance level and the amount of the reserved difference coefficient (if any) as follows:
- Salary calculation formula:
(Salary effective from July 1, 2023) = (Basic salary 1,800,000 VND/month) x (Current salary coefficient)
- Formula for calculating allowance level:
+ For allowances calculated based on basic salary:
(Allowance level implemented from July 1, 2023) = (Basic salary 1,800,000 VND/month) x (Current allowance coefficient)
+ For allowances calculated as a % of current salary plus leadership position allowance and seniority allowance exceeding the framework (if any):
(Allowance level implemented from July 1, 2023) = (Salary level implemented from July 1, 2023 + Leadership position allowance level implemented from July 1, 2023 (if any) + Seniority allowance exceeding the framework implemented from July 1, 2023 (if any)) x (Percentage of allowance enjoyed according to regulations)
+ For allowances specified in specific amounts, keep them according to current regulations.
- Formula for calculating the amount of the reserve difference coefficient (if any):
(The amount of the reserve difference coefficient implemented from July 1, 2023) = (Basic salary of VND 1,800,000/month) x (Current reserve difference coefficient (if any))
Circular 10/2023/TT-BNV takes effect from July 1, 2023.
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