Propose many new policies
According to VNA, the Ministry of Home Affairs has submitted to the Government a draft Decree on policies and regimes for cadres, civil servants, public employees and workers in the implementation of the organizational arrangement of the political system.
It clearly states policies for people retiring before the age of retirement; policies for officials whose working time is extended; policies on resignation for officials and civil servants; policies on resignation for public employees and workers (except for public employees and workers working in other public service units).
Along with that is the policy to encourage cadres, civil servants and public employees to increase their business trips to the grassroots; the policy to promote people with outstanding qualities and abilities; the policy to train and improve the qualifications of cadres, civil servants and public employees after reorganization.
The draft Decree stipulates how to determine time and salary to calculate policies and regimes. The early retirement period is used to calculate the number of months to receive a one-time pension benefit from the retirement date stated in the retirement decision to the prescribed retirement age, but not exceeding 60 months.
The period for calculating severance pay is the working period with compulsory social insurance payment, divided into two cases.
In case the working time with compulsory social insurance payment is 5 years or more, the maximum period for calculating severance allowance is 5 years (60 months).
In case the working time with compulsory social insurance is less than 5 years, the time to calculate severance allowance is equal to the time of social insurance payment.
The time to calculate the allowance based on the number of years of work with social insurance contributions is the total working time with compulsory social insurance contributions (according to each person's social insurance book) but has not yet received severance pay, unemployment benefits, or one-time social insurance benefits, or has not yet received demobilization or discharge benefits.
In case the total time to calculate the allowance has odd months, it is rounded up according to the principle that from 1 month to 6 months is counted as 0.5 years; from over 6 months to under 12 months is counted as 1 year.
The time to calculate the allowance based on the number of years of early retirement, if there are odd months, will be rounded up according to the same principle. The time used as the basis for calculating the age to enjoy the policy and regime of retirement is the 1st day of the month following the month of birth; in case the date and month of birth in the year are not specified in the records, the 1st day of January of the year of birth will be taken.
Current monthly salary is the salary of the month immediately preceding the leave of absence, including: Salary according to rank, position, title, professional title or salary according to agreement stated in the labor contract and salary allowances according to regulations of law.
According to the draft Decree, a subject eligible for many policies and regimes stipulated in different documents will only be entitled to the highest policy and regime.
It is estimated that 130,000 billion VND is needed for regime and policy spending.
The Ministry of Home Affairs said that it is estimated that 130,000 billion VND is needed to implement the above policies and regimes, provided by the state budget and revenue from public service units. Of which, 111,000 billion VND will be spent on policies and regimes for officials; 4,000 billion VND will be spent on policies and regimes for employees; 9,000 billion VND will be spent on policies and regimes for commune-level officials and civil servants; 4,000 billion VND will be spent on social insurance premiums and 2,000 billion VND will be spent on training and development.
“The implementation of streamlining the payroll will reduce regular expenditures and reduce the state budget for social insurance, health insurance, and union fees for retired officials, civil servants, and public employees (22%); and 10% of the bonus fund,” said the Ministry of Home Affairs.
Also according to the Ministry of Home Affairs, the state budget has allocated funds to implement the policy of streamlining payroll according to Decree No. 29/2023/ND-CP (currently being arranged in the regular expenditure estimates of agencies, organizations, and units) and expenditures on regimes and policies related to cadres, management leaders, etc.
In 5 years, the state budget is expected to save about 113,000 billion VND.
