Explaining the 15% salary increase for pensioners from July 1, 2024

At the press conference, answering reporters' questions about the reason for applying a 15% basic salary increase for pensioners, while civil servants and public employees are applied a 30% increase, Vice Chairman of the National Assembly 's Committee on Social Affairs Dang Thuan Phong said that the CPI increased many times along with the salary of pensioners. If added together, that number only increased by 11.5%, which is equal to the 30% increase for civil servants and public employees. However, because pensioners still have difficult lives, the Steering Committee for Salary Reform considered increasing the increase to 15%. Therefore, if the CPI indexes are added together, the actual pension will increase by more than 30%. This demonstrates a humane policy, giving priority to retired officials.

Responding to a reporter's question about the salary reform roadmap according to Resolution 27-NQ/TW on salary reform, the Vice Chairman of the National Assembly's Committee on Social Affairs said: salary reform according to Resolution 27 has been postponed three times and has not yet been completed. The spirit is to be cautious, certain, and effective.

According to Mr. Dang Thuan Phong, the Steering Committee for Salary Reform has held 24-25 meetings, of which 4 contents have been implemented, while 2 contents have not been implemented yet because the new salary table is determined by job position.

The implementation process shows that job positioning is not synchronous between sectors and localities even in the same field; the salaries of the armed forces also have certain fluctuations... At the same time, currently, with large public service units, the number of full autonomy, autonomy in regular expenditure and investment is very low, autonomy in regular expenditure is also low, partial autonomy in regular expenditure is low, less than 30%; units that are not autonomous from the State Budget must be handled by over 70%.

"If the employment problem in public service units and the self-resolution mechanism cannot be solved, it will be very difficult to handle it in salary reform. Therefore, the Steering Committee for Salary Reform has proposed to extend the time for the Government to review and carefully calculate the job position review formula to calculate the salary coefficient. The principle is to determine the job position on the basis of streamlining the payroll, then different salary coefficients can be calculated, and then salary reform can be carried out" - Deputy Chairman of the Committee for Social Affairs stated.

According to the Vice Chairman of the Committee for Social Affairs, in the coming time, the Government will certainly conduct a comprehensive review, looking at all salary tables to have a unified State management of salaries. On that basis, calculate salary levels and appropriate solutions for effective management.

In addition, another problem is the implementation of the 9 allowance regimes. The current salary structure is 40 - 60, meaning 40% allowance, 60% basic salary. According to the new design when rearranging the 9 allowance groups, the ratio is 30 - 70. If these measures are not handled synchronously, some people will be at a disadvantage.

For example, in remote, isolated, and especially difficult areas, the salary structure is largely based on this allowance. However, if reform is implemented to rearrange the salary allowance groups of this group, it may be lower than before the reform. This does not encourage talent and effort. Therefore, the Steering Committee for salary reform has allowed the above part to be retained for calculation, research, and further improvement.

In addition, if all 9 allowance levels are fully applied, there will be problems, including those who receive full salary before July 1, 2024, which is different from those who receive salary after July 1, 2024, and there is no synchronous compatibility between beneficiaries.

In addition, the Vice Chairman of the Committee on Social Affairs said that it is also necessary to calculate the 10% of the reward fund, so that on that basis there is a source of encouragement for each agency and unit when implementing salary reform. At the same time, when reforming salary, it will be necessary to amend more than 20 legal documents related to basic salary, which the Government has not yet submitted.

Adjust the basic salary from 1.8 million VND to 2.34 million VND/month

The session reviewed and decided on personnel work within its authority, socio -economic issues, and the State budget; passed 11 laws and 21 resolutions, gave initial opinions on 11 other draft laws; conducted questions and answers; conducted supreme supervision on the topic "Implementation of Resolution No. 43/2022/QH15 dated January 11, 2022 of the National Assembly on fiscal and monetary policies to support the Socio-economic Recovery and Development Program and resolutions of the National Assembly on a number of important national projects until the end of 2023"; reviewed reports on synthesizing voters' and people's petitions, reports on the results of supervising the settlement of voters' petitions, and a number of other important contents.

Notably, the National Assembly reviewed and approved the Resolution of the 7th session of the 15th National Assembly with many important contents, including: fully implementing 2 contents of salary reform in the enterprise sector in accordance with Resolution No. 27-NQ/TW, including: adjusting the regional minimum wage according to the provisions of the Labor Code (an average increase of 6% applied from July 1, 2024); regulating the salary mechanism for state-owned enterprises (applied from January 1, 2025).

Implement salary reform according to Resolution No. 27-NQ/TW in the public sector in a gradual, cautious, and certain manner, ensuring feasibility and contributing to improving the lives of wage earners. Assign the Government to implement the clear contents and meet the conditions for implementation. Adjust the basic salary from 1.8 million VND/month to 2.34 million VND/month (up 30%) from July 1, 2024. At the same time, from July 1, 2024, adjust the current pension and social insurance benefits to increase by 15% (June 2024).

Source: https://kinhtedothi.vn/ly-giai-muc-tang-15-luong-doi-voi-nguoi-huong-luong-huu-tu-1-7-2024.html