What is the Anticipated Leadership Position Coefficient for Commune, Ward, and Department Levels?

The Ministry of Home Affairs has proposed adjustments to the leadership allowance coefficients for department heads within the Ministry and commune-level leaders, effective January 1, 2026. These revisions aim to align allowances with the specific responsibilities of each position following organizational restructuring.

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The Ministry of Home Affairs is reviewing a draft decree to amend and supplement several articles of Government Decree No. 204/2004 on salary regimes for civil servants, public employees, and the armed forces. The draft decree is being prepared under the leadership of the Ministry of Home Affairs.

Civil servants in Ho Chi Minh City processing cases.

The draft decree reclassifies departments under the Ministry into two categories: Type 1 and Type 2 departments.

For Type 2 departments, the allowance rates remain unchanged: Department Director (1), Deputy Director (0.8), Head of Division or Director of Sub-Department (0.6), Deputy Head of Division or Deputy Director of Sub-Department (0.4), Team Leader (0.3), and Deputy Team Leader (0.2). The lowest allowance is 468,000 VND/month for Deputy Team Leaders, and the highest is 2,340,000 VND/month for Department Directors.

For Type 1 departments, the Ministry of Home Affairs proposes a 0.10 increase in coefficients compared to equivalent positions in Type 2 departments.

Specifically, the new allowance coefficients for Type 1 departments are: Department Director (1.1), Deputy Director (0.9), Head of Division (0.7), and Deputy Head of Division (0.5). Sub-Department positions are assigned coefficients of 0.3 for heads and 0.2 for deputies. If approved, allowances will be: Department Director (2,574,000 VND/month), Deputy Director (2,106,000 VND/month), Head of Division (1,638,000 VND/month), and Deputy Head of Division (1,170,000 VND/month).

Proposed allowance rates for leadership positions in ministerial departments.

The Ministry also proposes reviewing and abolishing allowance regulations for leadership positions in General Departments and Departments under General Departments, as the General Department model will cease operations from March 1, 2025. Allowance coefficients for these positions will follow the framework for ministerial departments.

Proposed Allowances for Commune-Level Leadership Positions

According to the Ministry of Home Affairs, following the implementation of the two-tier local government structure, the functions, tasks, and authorities of commune-level positions have changed. Adjusting allowances aims to avoid the perception of communes as “mini-districts.”

The draft decree sets two allowance levels based on location. One level applies to communes, wards, and special zones in Hanoi and Ho Chi Minh City, while the other applies to other localities.

In Hanoi and Ho Chi Minh City, Commune-Level Chairpersons will receive a coefficient of 0.7, Deputy Chairpersons 0.6, Heads of Commune-Level Divisions 0.35, and Deputy Heads of Commune-Level Divisions 0.2. The lowest allowance is 468,000 VND/month for Deputy Heads of Divisions, and the highest is 1,638,000 VND/month for Commune-Level Chairpersons.

In other provinces and cities, Commune-Level Chairpersons will receive a coefficient of 0.6 (1,404,000 VND/month), Deputy Chairpersons 0.5 (1,170,000 VND/month), Heads of Divisions 0.25 (585,000 VND/month), and Deputy Heads of Divisions 0.15 (351,000 VND/month).

Proposed commune-level leadership allowances are 0.05-0.1 lower than those of the former district-level positions.

Proposed allowance rates for commune-level leadership positions in Hanoi, Ho Chi Minh City, and other localities.

The draft decree also eliminates allowances for Provincial Inspectorate and District Inspectorate positions, while redefining allowances for Ministerial Inspectorate and Departmental Inspectorate positions to align with the 2025 Law on Inspection and Government Decree No. 303/2025 on the State Bank Inspectorate.

Inspectorate positions within ministries and ministry-level agencies retain the regulations of Decree 204/2004. Departmental Inspectorate positions receive allowances equivalent to those of departmental division heads.

For the Cryptography Inspectorate, existing regulations in Circular No. 07/2017 issued by the Minister of Home Affairs apply, avoiding duplication in this decree.

The decree is expected to take effect on January 1, 2026. To ensure policy continuity during the transition, the Ministry of Home Affairs proposes principles for allowance retention and back-payment.

Commune-level leaders who did not receive allowances or received lower amounts between July 1 and December 31, 2025, will be eligible for back-payment of allowances and social insurance contributions under the new rates.

Departmental leaders under the Ministry who served between March 1, 2025, and the date of department classification will temporarily receive Type 2 department allowances and be eligible for back-payment of social insurance contributions as prescribed.

Position allowances are supplementary income for individuals holding leadership, management, or executive roles, compensating for higher responsibilities and workloads.

These allowances apply to civil servants, public employees, and the armed forces, calculated by multiplying the current base salary of 2,340,000 VND by the allowance coefficient.

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