According to the Government's Electronic Information Portal, the Policy Department (General Department of Politics, Ministry of National Defense) is organizing a consultation on the draft Circular of the Minister of National Defense guiding the implementation of policies and regimes for officers, professional soldiers, defense workers and civil servants, and those working in secret service who receive salaries as for soldiers (commonly known as subjects in the army) in implementing the arrangement and streamlining of the organizational apparatus in the Army according to Decree No. 178/2024/ND-CP dated December 31, 2024 of the Government on policies and regimes when implementing the arrangement of the apparatus of the political system.
According to this draft, in cases where there is a maximum age limit of more than 5 years to 10 years according to the instructions in Clause 5, Article 4 of the Circular, there will be 3 allowances:
1. One-time pension for the number of months of early retirement:
- Receive a one-time pension subsidy upon retirement within the first 12 months from the effective date of the merger decision of the competent authority.
- Receive a one-time pension subsidy upon retirement from the 13th month onwards from the effective date of the merger decision of the competent authority.
2. Allowance for the number of years of early retirement:
For each year of early retirement (12 months) they are entitled to 4 months of current salary.
3. Allowance according to the working period with compulsory social insurance (SI) payment:
Receive a subsidy of 5 months of current salary for the first 20 years of work with compulsory social insurance contributions. From the 21st year onwards, for each year of work with compulsory social insurance contributions, a subsidy of 0.5 months of current salary will be granted.
The Government's electronic information portal takes an example, a military officer born in July 1976, enlisted in September 1995, with the rank of Lieutenant Colonel, the position of Political Commissar of the District Military Command, according to current regulations, will be 56 years old by July 2032, the highest age limit according to the rank of Lieutenant Colonel.
In case by April 2025, the unit merges with another unit; this officer is allowed by competent authorities to decide to retire early from August 1, 2025 and receive immediate pension, at the age of 49 (no retirement).
According to the regulations on the subsidy level in the draft Circular of the Ministry of National Defense, this officer is eligible for retirement within the first 12 months from the effective date of the merger decision of the competent authority; the early retirement period is 7 years (84 months) and has 29 years and 11 months of service in the Army with compulsory social insurance contributions.
Suppose the current salary month before retirement (July 2025) of this officer is 25,500,000 VND; in addition to enjoying the pension regime according to the provisions of the law on social insurance, he/she also enjoys the following regimes:
- One-time pension for the number of months of early retirement is: 25,500,000 VND x 0.9 months x 60 months of early retirement = 1,377,000,000 VND.
- One-time allowance for the number of years of early retirement is: 25,500,000 VND x 4 months x 7 years of early retirement = 714,000,000 VND.
- One-time allowance for the number of years of work with compulsory social insurance contributions is: 25,500,000 VND x {05 months + (0.5 x 10 years)} = 255,000,000 VND.
The total subsidy that this military colonel born in 1976 will receive is VND 2,346,000,000 when retiring early.