Joint Circular No. 01/2005/TTLT-BNV-BTC guiding the implementation of the transition from old salary grades to new salary grades for civil servants, public officials, and employees

Implementing Decree No. 204/2004/NĐ-CP dated December 14, 2004 of the Government on salary systems for officials, civil servants, state employees, and armed forces (hereinafter referred to as Decree No. 204/2004/NĐ-CP); after exchanging opinions with relevant ministries and sectors, the Ministry of Home Affairs and the Ministry of Finance jointly issue guidelines for implementing the transition from old salaries to new salaries for officials, civil servants, and state employees as follows:

        I. SCOPE AND APPLICABLE OBJECTS

        Officials, civil servants, and state employees specified in Article 2 of Decree No. 204/2004/NĐ-CP shall be subject to the transition from old salaries to new salaries including:

1. Officials and civil servants within the establishment who receive salaries from the State budget working in central government agencies; provincial and centrally-administered city government agencies; district, town, and provincial-level city government agencies, including:

a. Officials and civil servants holding leadership positions appointed through elections or appointments.

b. Senior experts.

c. Officials and civil servants in professional and technical positions (including judicial and prosecution sector professional and technical positions) and administrative and service staff working in government agencies.

2. Full-time officials and civil servants at commune, ward, and town levels.

3. State employees holding leadership positions, professional and technical staff, and administrative and service staff within the establishment receiving salaries from the State budget and other institutional revenue sources as prescribed by law working in state-run public institutions.

4. Officials, civil servants, and state employees within the State establishment and receiving salaries according to the State-defined salary scale assigned to work at associations, non-governmental organizations, projects, and international organizations based in Vietnam.

II. TRANSITION FROM OLD SALARIES TO NEW SALARIES

1. For leadership positions subject to the new salary scale according to the position-based salary table (Ministers and equivalent positions and full-time officials at commune, ward, and town levels):

a. Principles:

Currently holding a leadership position, the old salary will be converted to the new salary according to that leadership position and the term-of-office re-election allowance (hereinafter referred to as the re-election allowance, if applicable) will cease to be paid;

For leadership positions defined with two salary grades, if not currently receiving the re-election allowance, the old salary will be converted to the new salary at grade 1 of the current leadership position; if currently receiving the re-election allowance (5% or more), the old salary will be converted to the new salary at grade 2 of the current leadership position and the re-election allowance will cease to be paid.

b. Method of converting old salaries to new salaries:

Based on the old salary coefficient and the re-election allowance (if applicable) of the current leadership position, convert to the new salary coefficient of that leadership position according to Salary Conversion Tables 1 and 2 issued together with this Circular.

Example 1. Mr. Nguyen Van A, Minister of Department B, has been assigned an old salary coefficient of 8.20 according to the election-based position salary table. From October 1, 2004, Mr. A will be converted to the new salary as follows:

If Mr. A does not receive the re-election allowance, he will be converted to the new salary at grade 1, coefficient 9.70 in the Minister position salary table; if Mr. A is currently receiving the re-election allowance (5% or 10% or more), he will be converted to the new salary at grade 2, coefficient 10.30 in the Minister position salary table and the re-election allowance will cease to be paid.

Example 2. Ms. Tran Thi B, Chairwoman of the People's Committee of Commune C, has been assigned an old salary coefficient of 1.90 (as stipulated in Decree No. 121/2003/NĐ-CP dated October 21, 2003 of the Government). From October 1, 2004, Ms. B will be converted to the new salary as follows:

If Ms. B does not receive the re-election allowance, she will be converted to the new salary at grade 1, coefficient 2.15 in the full-time official position salary table of the Chairwoman of the People's Committee of Commune; if Ms. B is currently receiving the re-election allowance of 5%, she will be converted to the new salary at grade 2, coefficient 2.65 in the full-time official position salary table of the Chairwoman of the People's Committee of Commune and the re-election allowance will cease to be paid.

2. For positions appointed through elections subject to the new salary scale according to the civil servant administrative rank and grade and receiving leadership position allowances:

a. Principles:

Currently holding an elected position, the old salary coefficient (excluding the re-election allowance, if applicable) will be used to convert to the new civil servant administrative rank and grade and receive the leadership position allowance prescribed for the current elected position;

The time spent at the old salary coefficient level for the current elected position will be considered for placement in the new grade or for enjoying the seniority allowance exceeding the standard (if applicable) under the regular salary increment system and the seniority allowance exceeding the standard system for civil servants and the re-election allowance (if applicable) will cease to be paid;

During the period of holding the old salary coefficient, if there is a year where the assigned tasks are not completed or disciplinary action (one of the forms of reprimand or warning) is taken, each such year will extend the time required to move up to a higher grade in the rank or the time required to enjoy the seniority allowance exceeding the standard (if applicable) by one year (12 months).

b. Method of converting old salaries to new salaries:

Based on the old salary coefficient and the time spent at the old salary coefficient of the current leadership position, convert to the new salary according to the civil servant administrative rank and grade as per Salary Conversion Table 3 issued together with this Circular and receive the leadership position allowance for the current elected position.

Example 3. Mr. Tran Dang C, currently holding the position of Head of the Specialized Council of the People's Council of District D, has been assigned an old salary coefficient of 3.40 according to the election-based position salary table since December 1, 1999 and is currently receiving a 5% re-election allowance (second term 2004-2009). From October 1, 2004, Mr. C will be converted to the new salary according to the civil servant administrative rank and grade and receive the Head of the Specialized Council of the People's Council of District allowance as follows:

The old salary coefficient 3.40 of Mr. C was transferred to the new salary coefficient 4.32, grade 7, specialist rank. During the time Mr. C held the old salary coefficient (3.40) from December 1, 1999 to December 1, 2002 (a total of three years during which Mr. C completed assigned tasks annually and was not disciplined), Mr. C was promoted to grade 8 with the new salary coefficient 4.65 at the specialist rank and received the position allowance for the full-time Chairman of the People's Council of the district with a coefficient of 0.30. The time for the next salary grade increase for Mr. C will be calculated from December 1, 2002, and Mr. C will cease to receive the 5% re-election allowance (old).

3. For officials, civil servants, and employees currently holding leadership positions who have been classified under the old salary scale according to the civil servant or employee rank and grade or professional title in the judiciary or prosecution sectors and receiving leadership position allowances:

Implement the principle and method of transferring the old salary scale to the new salary scale as for officials, civil servants, and employees in professional and technical positions, administrative and service positions according to the guidance at point 5, section II of this Circular, and enjoy the position allowance stipulated for the current leadership position they hold.

Example 4. Ms. Vu Thi D, Head of the Civil Affairs - Labor Department of County E, has been classified under the old salary coefficient 3.31, grade 7, specialist rank since June 1, 2002, and received the position allowance for the Head of the Department of a county with an old coefficient of 0.20. Ms. D was transferred from the old salary scale to the new salary scale from October 1, 2004, as follows:

The old salary coefficient 3.31, grade 7, specialist rank of Ms. D was transferred to the new salary coefficient 4.32 (the time for the next salary grade increase for Ms. D will be calculated from June 1, 2002) and Ms. D will receive the position allowance for the Head of the Department of a county with a new coefficient of 0.30.

4. For senior experts:

Implement the principle of transferring the old salary grade to the new salary grade across grades according to Table 4 issued together with this Circular.

Example 5. Mr. Le Van E has been classified under the old salary scale for a senior expert grade 2, old salary coefficient 8.00 since May 1, 2003, Mr. E was transferred across grades to grade 2 with the new salary coefficient 9.40 of a senior expert from October 1, 2004; the time for the next salary grade increase for Mr. E will be calculated from May 1, 2003.

5. For officials, civil servants (including village-level civil servants), professional and technical staff from the senior specialist rank and equivalent downwards, and administrative and service staff (those not holding leadership positions):

a. Principles:

Currently classified under which civil servant or employee rank (hereinafter referred to as rank) or professional title in the judiciary or prosecution sectors (hereinafter referred to as title), shall be based on the old salary coefficient to transfer to the new salary coefficient according to that rank or title;

If already transferred to the highest grade in the rank or title, then depending on the time holding the old grade to calculate the enjoyment of the seniority allowance exceeding the ceiling according to regulations; during the time holding the old grade, if there is a year where the assigned tasks were not completed or disciplinary action (one of the forms of reprimand, warning, removal from office) was taken, then for each year where the assigned tasks were not completed or disciplinary action was taken, the period for calculating the enjoyment of the seniority allowance exceeding the ceiling will be extended by one year (full 12 months);

Transferring the old salary scale to the new salary scale does not combine with the promotion of the civil servant or employee rank. Those who have been classified under the old salary scale incorrectly according to the requirements of their current job (except in cases where there is a decision by the competent authority to retain the old rank or title when changing jobs) must be transferred to the salary scale according to the correct rank or title specified for that job. The rank or title according to the requirements of the current job and the rank or title retained when changing jobs hereafter are called the current rank or title held.

b. Method of converting old salaries to new salaries:

Based on the old salary coefficient and the time holding the old grade, transfer to the new salary scale in the current rank or title held and enjoy the seniority allowance exceeding the ceiling (if applicable) according to Table 5 issued together with this Circular.

Example 6. Ms. Dinh Thi H, a specialist at the Office of the Provincial People's Committee K, has been classified under the old salary coefficient 4.06, grade 10 (the highest grade in the specialist rank) since September 1, 1998, Ms. H was transferred from the old salary scale to the new salary scale from October 1, 2004, as follows:

Since the new salary system provides that the specialist rank has nine grades, Ms. H was transferred to the new salary scale at grade 9 with a new salary coefficient of 4.98, specialist rank, and receives a 5% seniority allowance exceeding the ceiling (grade 10 in the old specialist rank was entitled to a 5% seniority allowance exceeding the ceiling). The time Ms. H held grade 10 (old) in the specialist rank from September 1, 1998 to September 1, 2004 (a total of six years during which Ms. H completed assigned tasks annually and was not disciplined), Ms. H is entitled to an additional 6% seniority allowance exceeding the ceiling (1%/year). Therefore, Ms. H was transferred to the new salary scale from October 1, 2004, at a salary coefficient of 4.98, grade 9, specialist rank, and receives 11% (5% + 6%) seniority allowance exceeding the ceiling compared to the new salary coefficient 4.98 (the highest grade in the specialist rank); the time for calculating the seniority allowance exceeding the ceiling for the next period for Ms. H will be calculated from September 1, 2004.

Example 7. Mr. Dao Van K, a civil servant at the Office of the People's Committee of County M, has been classified under the old salary coefficient 3.07, grade 14, civil servant rank since April 1, 2003, Mr. K was transferred from the old salary scale to the new salary scale from October 1, 2004, as follows:

Due to the new salary scale regulations, Mr. K was transferred to a new salary grade 12 with a new salary coefficient of 4.06 for the cadre rank and enjoys a 7% seniority bonus above the ceiling (the old grade 13 at the cadre rank received a 5% seniority bonus above the ceiling; the old grade 14 at the cadre rank received an additional 2% seniority bonus above the ceiling). The time Mr. K held grade 14 (old) in the cadre rank from April 1, 2003 to April 1, 2004 (one year, during which Mr. K completed assigned tasks and was not disciplined), he is entitled to an additional 1% seniority bonus above the ceiling. Therefore, Mr. K was transferred to the new salary scale on October 1, 2004, with a new salary coefficient of 4.06 at grade 12 in the cadre rank and enjoys an 8% (7% + 1%) seniority bonus above the ceiling compared to the new salary coefficient of 4.06 (the final grade in the cadre rank); the next period for calculating the seniority bonus above the ceiling for Mr. K will be counted from April 1, 2004.

6. Other cases:

a. Cadres, civil servants, and public officials who have a decision from the competent authority to retain their position salary level or rank salary level or title salary level when changing jobs shall base on the retained salary coefficient to transfer to the new salary scale from October 1, 2004, according to the guidelines in this Circular and cease to enjoy the retained differential coefficient (if any).

Example 8. Mr. Vu Van M, Chairman of the People's Committee of District N, former Head of the Standing Committee of the Provincial People's Council P (ranked with a salary coefficient of 5.20 from May 1, 2002). According to the provisions of Decree No. 25/CP dated May 23, 1993, Mr. M would be ranked with a salary coefficient of 4.90 for the position of Chairman of the People's Committee of a district, but Mr. M has a decision from the competent authority allowing him to enjoy a retained differential coefficient of 0.30 to equal the old salary level (4.90 + 0.30 = 5.20), Mr. M will transfer his old salary to the new salary scale and cease to enjoy the retained differential coefficient of 0.30 from October 1, 2004 as follows:

The retained old salary coefficient of 5.20 of Mr. M will be transferred to a new salary coefficient of 5.76 at grade 5 in the Senior Specialist rank (the time for the next salary increase will be calculated from May 1, 2002) and enjoy the position allowance for the Chairman of the People's Committee of a district with a new allowance coefficient of 0.70.

Example 9. Ms. Nguyen Thi N, former Director of the Office of District P, ranked with a salary coefficient of 2.82 at grade 5 in the Specialist rank from November 1, 2003 and enjoyed a position allowance for the Director of the Office of a district with an old allowance coefficient of 0.20. In accordance with job requirements, Ms. N was transferred to hold the position of Chairman of the People's Committee of Commune Q and had a decision from the competent authority to retain her salary level in the Specialist rank and her position allowance for the Director of the Office of a district, Ms. N will transfer her old salary to the new salary scale from October 1, 2004 as follows:

The old salary coefficient of 2.82 at grade 5 in the Specialist rank will be transferred to a new salary coefficient of 3.66 (the time for the next salary increase will be calculated from November 1, 2003) and enjoy the retained position allowance for the Director of the Office of a district with a new allowance coefficient of 0.30.

Example 10. Mr. Nguyen Xuan P, former Judge of the Supreme People's Court, ranked with a salary coefficient of 5.36 at grade 2 from September 1, 2002. In accordance with job requirements, Mr. P was transferred to hold the position of President of the People's Court of Province T and had a decision from the competent authority to retain his salary level in the position of Judge of the Supreme People's Court and enjoy the position allowance for the President of the People's Court of a province with an old allowance coefficient of 0.80. Mr. P will transfer his old salary to the new salary scale from October 1, 2004 as follows:

The old salary coefficient of 5.36 at grade 2 will be transferred to a new salary coefficient in the position of Judge of the Supreme People's Court of 6.56 (the time for the next salary increase will be calculated from September 1, 2002) and enjoy the position allowance for the President of the People's Court of a province with a new allowance coefficient of 0.95.

b. Cadres, civil servants, and public officials who were formerly officers of the Vietnam People's Army and are currently enjoying a retained differential coefficient, shall recalculate the retained differential coefficient based on the new salary coefficient. During the period of retaining salary as prescribed, the retained differential coefficient will decrease correspondingly by the amount of the salary increment due to promotion or due to enjoying a seniority bonus above the ceiling (if any).

Example 11. Mr. Nguyen Van Q, former Major of the Vietnam People's Army (old salary coefficient of 4.15 ranked from April 1, 2002) was transferred to work and appointed to the position of Deputy Director of the Office of the People's Committee of Province T from August 1, 2004. Based on the professional standards of the civil servant rank that Mr. Q holds, Mr. Q was appointed and ranked at grade 6 in the Specialist rank with an old salary coefficient of 3.06 (the time for the next salary increase will be calculated from April 1, 2002) and enjoys a position allowance for the Deputy Director of the Office of the People's Committee of a province with an old allowance coefficient of 0.20, the total old salary coefficient (including position allowance) of Mr. Q is 3.26 (3.06 + 0.20). According to the Law on Officers of the Vietnam People's Army, Mr. Q is entitled to a retained differential coefficient from August 1, 2004 (the day of transferring work) of 0.89 (4.15 - 3.26). The old retained differential coefficient of 0.89 of Mr. Q will be recalculated based on the new salary from October 1, 2004 as follows:

The military rank of Major is transferred to a new salary coefficient of 5.40.

The old salary coefficient of 3.06 at grade 6 in the Specialist rank will be transferred to a new salary coefficient of 3.99; the position allowance for the Deputy Director of the Office of the People's Committee of a province has a new allowance coefficient of 0.30, the total new salary coefficient (including position allowance) of Mr. Q is 4.29 (3.99 + 0.30). Thus, Mr. Q will enjoy a retained differential coefficient based on the new salary from October 1, 2004 of 1.11 (5.40 - 4.29). On April 1, 2005 (after three years holding the grade and during this time Mr. Q completed assigned tasks annually and was not disciplined), Mr. Q will be promoted to grade 7 with a new salary coefficient of 4.32 (increased by 0.33 compared to grade 6), then the retained differential coefficient of Mr. Q will decrease correspondingly from 1.11 to 0.78 (1.11 - 0.33).

c) The positions of Head of Delegation, Deputy Head of Delegation of full-time National Assembly deputies, full-time National Assembly deputies, Chairperson, Deputy Chairperson of Committees under the Standing Committee of the National Assembly shall implement the transfer from old salary to new salary according to the regulations of the Standing Committee of the National Assembly.

d) The position of full-time member of the People's Council at provincial level and centrally governed city (provincial level), district, county, town, and city under province (district level) shall implement the transfer from old salary to new salary into the rank and grade of administrative civil servants and enjoy the position allowance of the current held position. Based on the relative position of the full-time member of the People's Council at provincial and district levels as stipulated in Decree No. 730/2004/NQ-UBTVQH11 dated September 20, 2004 of the Standing Committee of the National Assembly regarding the approval of the position salary table, position allowance table for state leaders; the specialized and vocational salary table for the judiciary and prosecution sectors to implement the transfer from old salary to new salary into the rank and grade of administrative civil servants and enjoy the leadership position allowance according to the transfer table number 6 (6a and 6b) issued together with this Circular.

đ) For the ranks of civil servants, public officials or specialized and vocational positions in the judiciary and inspection sectors that have been newly added or have changes in classification of cadres, civil servants, public officials, and cases not meeting the required educational standards for the rank or position, the Ministries and sectors managing these specialized ranks or positions shall build plans for transferring from old salary to new salary, propose them to the Joint Ministry of Home Affairs - Ministry of Finance for agreement and application, and be entitled to receive the new salary according to the effective date of this Circular.

III. IMPLEMENTATION

Implementing the new salary system in 2004 and subsequent years continues the process of reforming the salary policy in accordance with the spirit of Resolution No. 7 of the Central Committee of the Communist Party of Vietnam at its Seventh Plenum of the Eighth Congress, Resolution No. 9 of the Ninth National Congress of the Communist Party of Vietnam, and the conclusion of the Eighth Plenum of the Central Committee of the Communist Party of Vietnam at its Ninth Congress. Therefore, Ministries, sectors, localities, agencies, and units need to disseminate the new salary policy documents of the Party and State to all cadres, civil servants, public officials, and those receiving salaries, making everyone understand that the salary policy reform must be a process over many years; it must be based on increasing labor productivity, national income, and economic development; at the same time, this round of salary reform focuses on increasing the salary levels for those with average and low salaries; partially eliminating overlaps and complexities in salary tables, creating favorable conditions for salary grading when transferring cadres and civil servants within the political system; clearly distinguishing between civil servant salary tables, public official salary tables, wage scales, and salary tables in state-owned companies; contributing to improving the quality of the cadre, civil servant, and public official workforce, promoting administrative reform.

To effectively implement the transfer from old salary to new salary, ensuring uniformity nationwide, motivating cadres, civil servants, and public officials to improve work efficiency, Ministries, sectors, localities, agencies, and units need to implement:

1. Heads of agencies and units directly managing cadres, civil servants, and public officials (at the grassroots level) are responsible for exchanging with the same-level Party committee and the same-level Trade Union Executive Committee to implement:

a) Reviewing and arranging the staffing of the agency or unit, clearly defining the functions, tasks, and workload of each department, and on this basis, appropriately assigning cadres, civil servants, and public officials to meet job requirements.

b) Based on the guidance in this Circular, prepare reports on the results of transferring from old salary to new salary for each cadre, civil servant, and public official under their management scope according to Model 1a and Model 1b (for government agencies) and Model 2 (for public service units) issued together with this Circular; simultaneously, compile cases of difficulties and send them to the higher-level management agency for inspection and consolidation.

2. Heads of higher-level management agencies directly overseeing the grassroots level are responsible for:

Inspecting, preparing reports (according to Model 1a, Model 1b, and Model 2), and compiling cases of difficulties from subordinate agencies and units and sending them to the Ministry or sector (if under central management) or the Provincial People's Committee (if under local management) for approval and resolution.

3. Ministers, Heads of agencies equivalent to ministries, Heads of government agencies, Chief Justice of the Supreme People's Court, Chief Prosecutor of the Supreme People's Procuracy (hereinafter referred to collectively as the Heads of central ministries and sectors), Chairpersons of Provincial People's Committees have the responsibility to:

a) Establish a Steering Committee for implementing the new salary system (hereinafter referred to as the Steering Committee).

a1) The composition of the Steering Committee consists of 05 to 07 members as follows:
At the central level:

The Chairman of the Steering Committee is the Head or Deputy Head of a central ministry or sector;

The Deputy Chairman of the Steering Committee is the Director of the Department (or Bureau) of Organization and Cadre Affairs, Labor, and Salary of the central ministry or sector;

Members of the Steering Committee include the person in charge of the finance department, representatives of the trade union at the same level, and other members proposed by the Chairman of the Steering Committee.

At the local level:

The Chairman of the Steering Committee is the Chairperson or Deputy Chairperson of the Provincial People's Committee;

The Deputy Chairman of the Steering Committee is the Director of the Provincial Department of Home Affairs;

Members of the Steering Committee include the Director of the Provincial Department of Finance, representatives of the Provincial Federation of Trade Unions, and other members proposed by the Chairman of the Steering Committee.

a2) The Steering Committee has the responsibility to assist the Heads of central ministries and sectors and the Chairpersons of Provincial People's Committees in implementing:

Directing units under their management to implement the transfer from old salary to new salary according to the guidance in this Circular; reviewing and consolidating the results of the transfer from old salary to new salary; resolving issues within their authority during the transfer process from old salary to new salary, and proposing matters beyond their authority to the Joint Ministry of Home Affairs - Ministry of Finance for consideration and decision.

||| Determine the additional salary fund requirements and funding sources for implementing the new salary system in accordance with the guidelines issued by the Ministry of Finance for units under its management.

||| b) Based on the results of the review to transfer from old to new salaries proposed by the Steering Committee, the authorized person at the central ministry or agency and at the provincial level shall issue decisions or propose the competent authority at the current level to issue decisions to transfer from old to new salaries for cadres, civil servants, and public officials within the payroll establishment of ministries, agencies, and localities.

||| c) For Deputy Chairpersons of People's Councils and Deputy Chairpersons of People's Committees at provincial and municipal levels, senior specialist-grade cadres and equivalent positions (excluding Chairpersons of People's Councils and People's Committees at provincial and municipal levels, Vice Ministers, and equivalent leadership positions) within the payroll establishment of ministries, agencies, and localities, the heads of central ministries, provincial People's Committee Chairpersons shall submit written requests (attached with copies of the latest salary grade decision) to the Ministry of Home Affairs for examination and issuance of decisions to transfer from old to new salaries. During the period before the Minister of Home Affairs issues a decision to transfer from old to new salaries, the new salary can be temporarily paid according to the guidance provided in this Circular.

||| The decision of the Minister of Home Affairs regarding the transfer from old to new salaries for the aforementioned positions shall serve as the basis for the heads of central ministries and provincial People's Committee Chairpersons to issue decisions to increase salary grades for the aforementioned positions.

||| 4. The General Director of the Vietnam Social Security shall instruct social security offices at provincial and municipal levels to collect social insurance contributions based on the new salary levels of cadres, civil servants, and public officials. If violations in transferring from old to new salaries are discovered, the Director of the Social Security Office at the provincial or municipal level shall submit written requests to the authorized personnel managing cadres, civil servants, and public officials to re-transfer salaries in accordance with state regulations (with a copy sent to the Ministry of Home Affairs for monitoring and inspection).

||| 5. The Ministry of Home Affairs shall take the lead in coordinating with the Ministry of Finance to resolve difficulties during the process of transferring from old to new salaries in ministries, agencies, and localities; report to the Steering Committee for Researching State Salary Policy Reform, the Government, and the Standing Committee of the National Assembly on issues exceeding their authority.

IV. EFFECTIVE DATE OF IMPLEMENTATION

1. This Circular shall take effect fifteen days after its publication in the Official Gazette.

||| Repeal all guiding documents implementing Decree No. 25/CP dated May 23, 1993 of the Government concerning the transfer from old to new salaries and term-of-office seniority allowances for cadres, civil servants, and public officials working in state agencies and state-affiliated organizations.

||| 2. The old salary coefficient, re-election allowance, position allowance, and old retention differential coefficient (if any) used to transfer to the new salary according to the guidance in this Circular shall be the current effective level as of October 1, 2004, and shall be back-paid for the difference between the new salary (including position allowance, seniority allowance exceeding the ceiling, and retention differential coefficient, if any) and the old salary from October 1, 2004.

||| a) In cases where there is a change in the old salary coefficient after October 1, 2004, the transfer from old to new salaries shall be implemented as follows:

||| From October 1, 2004, until the date of the change in the old salary coefficient, the old salary coefficient prior to the change shall be transferred to the new salary coefficient according to the guidance in this Circular to serve as the basis for back-paying salaries and back-paying social insurance contributions from October 1, 2004, up to the date of the change in the old salary coefficient;

||| From the date of the change in the old salary coefficient until the date of the transfer from old to new salaries, the old salary coefficient after the change (the current held coefficient) shall be transferred to the new salary coefficient, and the new salary shall be calculated from the date of the change in the old salary coefficient.

||| The decision to transfer from old to new salaries must clearly reflect the change in the old salary after October 1, 2004, as mentioned above.

||| b) In cases where cadres, civil servants, and public officials have met the time and standard requirements for increasing salary grades according to the regulations during the period from October 1, 2004, to the date of the transfer from old to new salaries but have not yet received a decision to increase the old salary grade from the competent authority, they shall also implement the transfer from old to new salaries as in the case of a change in the old salary coefficient after October 1, 2004, as mentioned above.

||| 3. The following subjects shall apply the transfer from old to new salaries from October 1, 2004, according to the guidance in this Circular to calculate contributions and benefits under the social insurance scheme and resolve related salary issues as prescribed by law:

||| a) Cases of studying, internships, assignments, treatment, and convalescence both domestically and abroad within the payroll establishment of agencies and units.

||| b) Probationary civil servants, those currently in probation periods in state agencies (including probationary civil servants at commune level) and those currently in trial periods in state-affiliated organizations.

||| c) Cases of suspension of work, detention, and arrest.

||| d. Subjects who have signed labor contracts and been assigned old salary grades according to the administrative and public service salary scale issued together with Decree No. 25/CP dated May 23, 1993, of the Government temporarily regulating the new salary system for administrative and public service civil servants and armed forces personnel.

||| 4. Cases of recruitment, election, transfer, rotation, and job change to work in state agencies and state-affiliated organizations after the transfer from old to new salaries shall follow the principle of salary assignment and leadership position allowance (if applicable) as stipulated in Article 3 of Decree No. 204/2004/NĐ-CP.

||| 5. Subjects belonging to the armed forces and individuals working in confidential organizations receiving salaries from the state budget shall have separate guidance.

||| 6. Cadres, civil servants, and public officials working in Party, Front, and mass organization agencies and units shall implement the transfer from old to new salaries according to the guidance of the Central Organization Department.

During the implementation process, if there are any difficulties, ministries, sectors, and localities shall report to the Ministry of Home Affairs and the Ministry of Finance for study and resolution.