What will the salaries of civil servants and public employees be like when the basic salary is no longer applied?

One of the issues that many people are interested in is when using the reference salary instead of the basic salary (VND 2.34 million/month), how will the income of civil servants and public employees be calculated? Question: Mr. Dinh Viet Thanh (a civil servant working in a state agency) wondered, in the near future the basic salary of VND 2.34 million/month applied to civil servants, public employees and armed forces will be abolished, replaced by the reference salary. So what is the reference salary when applied, is there any change in the payment and enjoyment of social insurance (SI)? Answer: According to the provisions of the Social Insurance Law 2024 effective from July 1, the reference level is the amount of money decided by the Government to calculate the payment and enjoyment of some SI regimes. The reference level is not fixed but is adjusted based on the increase in the consumer price index, economic growth, the capacity of the state budget and the SI fund. The 2024 Social Insurance Law also clearly stipulates that if the basic salary has not been abolished, the reference level is equal to the basic salary. When the basic salary is abolished, the reference level is not lower than that basic salary. Therefore, if the basic salary is abolished, the lowest reference salary will be equal to the basic salary of 2.34 million VND/month. An expert in the field of labor and wages added that keeping or increasing the reference salary will affect the social insurance contribution level. The salary used as the basis for social insurance contribution for employees from July 1 to the lowest is equal to the reference level and the highest is 20 times the reference level, that is, from 2.34 million VND, the highest is 46.8 million VND.

Báo Tiền Giang•29/03/2025

Pensions are also adjusted according to the reference level. Photo: VNN

Employees who are Vietnamese citizens who have participated in compulsory social insurance before July 1, 2025, and paid social insurance for 20 years, will receive the lowest monthly pension equal to the reference level.

Employees who pay compulsory social insurance according to the salary regime prescribed by the State before January 1, 2016 will have their salary adjusted according to the reference level at the time of retirement.

In addition to wages, a series of other benefits for employees also change when the reference wage changes. These include the benefit level for 1 day of rest, health recovery after illness and health recovery after maternity leave equal to 30% of the reference level; the one-time allowance for each child equal to twice the reference level in the month the female employee gives birth, receives a child through surrogacy, or adopts a child.

Funeral allowance for relatives of employees participating in compulsory social insurance is 10 times the reference level in the month in which the person died...

According to vietnamnet.vn

Source: https://baoapbac.vn/ban-doc/202503/luong-cong-chuc-vien-chuc-the-nao-khi-khong-con-ap-luong-co-so-1038297/