Salary reform is starting from July 1, 2021

13/03/2020 01:40 PM


On the afternoon of March 4, Prime Minister Nguyen Xuan Phuc chaired the 3rd meeting of the Central Steering Committee on Salary and Social Insurance Reform and incentives for people with meritorious to get the opinions for a number of projects. The Prime Minister asked to ensure that the new salary will be higher than the previous one in order to create more motivation and strength in building the country.

Prime Minister Nguyen Xuan Phuc gave a speech at the meeting.

Accordingly, at the meeting, Prime Minister Nguyen Xuan Phuc set a time to start implementing salary reform from July 1, 2021. The Prime Minister emphasized that the scale and payroll of the political system, armed forces, policy beneficiaries and retirees are of great significance in the context of our country's diverse political system. Therefore, the Steering Committee members, ministries, and sectors need to continue to discuss for consensus, in which it is necessary to divide into different groups to get practical feedback. The spirit is that: Make sure the new salary is better than the previous one, relatively equity and the relationship between the salary earners.

The Prime Minister asked the Ministry of Home Affairs to continue perfecting the calculation methods to serve as a basis for designing payrolls, ensuring wages equal to base salary plus allowances. In particular, for allowances, it is necessary to consider more carefully towards reducing the number of allowances, making them fairer and easier to manage. The principle is that sector allowances are set by the Ministers in charge of the sectors or industries in accordance with the framework provided by the Government.

Regarding the source of salary reform, apart from spending a part of the excess revenues of localities and the Central Government, the Prime Minister said that the important task is still to streamline the apparatus and the payroll and restructure the State budget. This is a task that needs to be drastically implemented and considered a consistent policy of the Steering Committee on salary reform so that all levels and branches can well implement the Resolution No. 18 and 19 of the Central Government, including public non-business unit reform and reorganizing administrative units.

Prime Minister Nguyen Xuan Phuc requested the Ministry of Labor, War Invalids and Social Affairs to closely follow Resolution No. 28-NQ/TW of May 24, 2018 on reforming social insurance policies and the Law on Social Insurance for a plan to identify and adjust to suit pensions from time to time, especially pensions before 1995. Regarding adjustment to the supporting policies for people with meritorious services and their relatives, the Prime Minister shall show great interest, because this is a special policy and a preferential policy of the Party and State, expressing the gratitude of the country and the nation. In the immediate future, the year 2020 will continue to be adjusted according to the Resolution of the National Assembly. From 2021, adjustment will be made according to the salary reform roadmap.

Prime Minister Nguyen Xuan Phuc also assigned the Ministry of Finance and local governments to prepare the budget to implement the salary reform in the direction of annual spending, accounting for about 50% of the increase in revenue estimates and 70% of the increase in locally budget revenues together with about 40% of the increase in central budget revenues. However, in order to ensure sustainability, localities must consistently implement the streamlining of the apparatus, reduce payrolls according to the motto that the salary increase roadmap must go along with the payroll reduction roadmap, especially for public non-business units./.

VSS