The basic salary applied to civil servants, public employees and the armed forces will rise from VND1.3 million to VND1.39 million per month as of July 1, 2018, according to Decree No.72/2018/NĐ-CP recently issued by the Government.
Public employees' basic salary to increase since July, 2018
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The new basic salary, which will be used for calculating payrolls and allowances, will apply to public officials and employees working at State agencies from commune-level to the central level; civil servants working at public socio-political organisations; and the armed forces.
The retirement pension will also be adjusted based on the new basic salary from July this year.
The Government has also requested that the ministries, and ministerial-level and Governmental agencies concerned reduce their spending, streamline their organisational apparatus and seek more sources of revenue to pay for the regular increase in the basic salary for public employees.
Provinces and centrally-run cities must arrange financial sources for the salary increase using the local budget, the regulated ten-percent saving from regular spending, and other sources in accordance with the regulations.
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