The salary of officials and employees will increase by how much?
The National Assembly has passed Resolution 104/2023/QH15 on the state budget estimate for 2024, which includes provisions on the implementation of salary reform from July 1, 2024.
Under the new salary policy, the salary range for officials and employees will be expanded from the current range of 1 – 2.34 – 10 to 1 – 2.68 – 12.
With this expanded salary range, the minimum salary for officials and employees will increase significantly (compared to the current starting salary of VND 3.5 million for officials and employees with intermediate qualifications and a salary coefficient of 1.86).
At the same time, the average salary for officials and employees will also have a higher starting coefficient of 2.68 (higher than the current coefficient of 2.34). It is known that with a coefficient of 2.34, officials and employees with university qualifications have a starting salary of over VND 4.2 million per month.
The highest salary for officials and employees, corresponding to grade 3 of senior experts (equivalent to the Minister’s salary), will also be expanded from coefficient 10 to coefficient 12. Therefore, the new highest salary for officials and employees is expected to be higher (compared to the current amount of VND 18 million).
Therefore, starting from July 1, 2024, the average salary for officials and employees will increase by about 30%. The specific salary increase for each target will depend on the position, job performance, etc.
Proposal to increase minimum wage by 6% from July 1, 2024
On December 20, 2023, the National Wage Council voted to finalize the minimum wage increase for 2024 at 6%, with the effective date being from July 1, 2024.
With an additional 6% adjustment to the minimum wage, the minimum wage will increase by an additional VND 200,000 to VND 280,000 depending on the region.
Specifically, after the adjustment, the minimum wage in each region will be as follows: Region 1 will increase to VND 4,960,000; Region 2 will be VND 4,410,000; Region 3 will be VND 3,860,000; and Region 4 will reach VND 3,450,000. (Currently, the minimum wage ranges from VND 3,250,000 to VND 4,680,000)
The hourly minimum wage will also increase by 6% from July 1, 2024. Specifically, Region 1 will increase to VND 23,800; Region 2 will be VND 21,200; Region 3 will be VND 18,600; Region 4 will be VND 16,600.
Proposal to increase pensions, social insurance allowances from July 1, 2024
In addition to the salary reform for officials and employees, the resolution also mentions the increase in pensions and social insurance allowances.
Accordingly, from July 1, 2024, the comprehensive reform of salary policies will be implemented in accordance with Resolution 27-NQ/TW dated May 21, 2018 of the 7th Party Central Committee, 12th tenure. At the same time, adjustments will be made to pensions, social insurance allowances, monthly allowances, preferential allowances for people with meritorious services, and some social security policies linked to basic salaries.
There is currently no accurate figure for the pension increase from July 1, 2024, and it is expected that the Decree adjusting pensions will be submitted to the Government in May 2024.
