Joint Circular No. 01/2009/TTLT-BNV-BTC guides the general minimum wage from May 1, 2009 for state agencies, political organizations, socio-political organizations, and public service units.

JOINT CIRCULAR

Guidelines for implementing the general minimum wage from May 1, 2009, for state agencies, political organizations, socio-political organizations, and public service units.

______________________________

Pursuant to Decree No. 48/2008/NĐ-CP dated April 17, 2008, issued by the Government, stipulating the functions, tasks, powers, and organizational structure of the Ministry of Home Affairs;

Pursuant to Decree No. 118/2008/NĐ-CP dated November 27, 2008, of the Government stipulating the functions, tasks, powers, and organizational structure of the Ministry of Finance;

Pursuant to Clause 2, Article 6 of Decree No. 33/2009/NĐ-CP dated April 6, 2009, issued by the Government, stipulating the general minimum wage (hereinafter referred to as Decree No. 33/2009/NĐ-CP);

After consulting with the Central Organization Committee and relevant agencies, the Ministry of Home Affairs and the Ministry of Finance provide guidelines for implementing the general minimum wage from May 1, 2009, for state agencies, political organizations, socio-political organizations, and public service units as follows:

Article 1. 1. Principles, criteria, and allocation standards for state budget investment capital development phase 2016-2020 serve as the basis for planning medium-term and annual investment plans from the state budget for the period 2016-2020 at the national level, at all levels, and in all sectors and units using state budget funds. They also serve as the basis for managing, supervising, inspecting, and auditing the implementation of medium-term and annual investment plans.

1. Civil servants and officials within the state budget payroll working in central state agencies, political organizations, and socio-political organizations; provincial-level city agencies directly under the central government; district, town, and township agencies under provinces.

2. Public servants within the state budget payroll and other sources of income for public services as prescribed by law working in state-owned public service units, political organizations, and socio-political organizations (hereinafter collectively referred to as public service units).

3. Officials, civil servants, and public servants within the state payroll and receiving salaries according to the salary table prescribed by the State, who are appointed by competent authorities to work at associations, non-governmental organizations, projects, and international agencies located in Vietnam.

4. Full-time cadres and civil servants at communes, towns, and townships as stipulated in Clause 1 and Clause 2 of Article 2 of Decree No. 121/2003/NĐ-CP dated October 21, 2003, issued by the Government on the system of benefits and policies for cadres and civil servants at communes, towns, and townships.

5. Kindergarten teachers within the payroll and kindergarten teachers under contracts as stipulated in Decision No. 161/2002/QĐ-TTg dated November 15, 2002, issued by the Prime Minister.

6. Health workers at communes, towns, and townships receiving salaries according to Decision No. 58/TTg dated February 3, 1994, and Decision No. 131/TTg dated March 4, 1995, issued by the Prime Minister.

7. Workers employed under contractual systems (employment contracts or labor contracts) in non-public public service units established and operating in accordance with the provisions of the law.

8. Deputies of People's Councils at all levels receiving activity fees as stipulated in Clause 2 of Article 75 of the Operation Regulations of People's Councils at all levels promulgated together with Resolution No. 753/2005/NQ-UBTVQH11 dated April 2, 2005, issued by the Standing Committee of the National Assembly.

9. Personnel engaged in confidential work in confidential organizations.

10. The following categories also fall within the scope of this Circular for calculating contributions and entitlements to social insurance and resolving related salary-based benefits as prescribed by law:

a. Cadres, civil servants, and public servants within the payroll of state agencies, political organizations, socio-political organizations, and public service units, permitted by competent authorities to apply the salary scale according to Decree No. 205/2004/NĐ-CP dated December 14, 2004, issued by the Government, stipulating the salary scale, salary table, and salary allowance system in state-owned companies;

b. Cadres, civil servants, and public servants studying, training, working, or undergoing treatment and convalescence both domestically and abroad within the payroll of state agencies, political organizations, socio-political organizations, and public service units;

c. Probationary civil servants, personnel in the probationary period or trial period (including probationary civil servants at commune level) in state agencies, political organizations, socio-political organizations, and public service units;

d. Cadres, civil servants, and public servants currently suspended from duty, detained, or arrested;

đ. Individuals who have signed labor contracts already classified according to Decree No. 204/2004/NĐ-CP dated December 14, 2004, issued by the Government, concerning the salary system for cadres, civil servants, public servants, and armed forces.

Political organizations and socio-political organizations mentioned in this Circular are those organizations specified in Article 1 of Decision No. 128/QĐ-TW dated December 14, 2004, issued by the Central Committee of the Communist Party regarding the salary system for cadres, civil servants, public servants in Party agencies, the United Front, and mass organizations.

Agencies, units, and organizations mentioned in Article 1 of this Circular shall hereinafter be collectively referred to as agencies and units.

Article 2. Calculation of Salary, Allowances, and Activity Fees

The salary, allowances (including any differential retention coefficient, if applicable), and activity fees of the subjects specified in Article 1 of this Circular from May 1, 2009, shall be calculated as follows:

1. For cadres, civil servants, and public servants

Cadres, civil servants, and public servants as stipulated in Clauses 1, 2, 3, 4, 5, and 6 of Article 1 of this Circular shall calculate their salary, allowance, and the amount of the differential retention coefficient (if applicable) based on the current salary coefficient and allowance prescribed in Resolution No. 730/2004/NQ-UBTVQH11 dated September 30, 2004, of the Standing Committee of the National Assembly, Resolution No. 1003/2006/NQ-UBTVQH11 dated March 3, 2006, of the Standing Committee of the National Assembly, Decision No. 128/QĐ-TW dated December 14, 2004, of the Central Committee of the Communist Party, Decree No. 204/2004/NĐ-CP dated December 14, 2004, of the Government, and the general minimum wage as stipulated in Article 1 of Decree No. 33/2009/NĐ-CP as follows:

a. Formula for calculating the salary:

b. Formula for calculating the allowance:

- For allowances calculated based on the general minimum wage:

- For allowances calculated based on the percentage of the current salary plus leadership position allowance and seniority allowance exceeding the ceiling (if applicable):

- For allowances specified in specific monetary amounts, maintain them according to the current regulations.

c. Formula for calculating the amount of the differential retention coefficient (if applicable):

2. For workers in non-public public service units

Workers in non-state public institutions as stipulated in Clause 7, Article 1 of this Circular shall base their salary levels recorded in contracts, social insurance contributions and benefits, health insurance contributions and benefits, holiday pay, annual leave pay, and other entitlements as prescribed by law on the general minimum wage as provided for in Article 1 of Decree No. 33/2009/NĐ-CP.

3. For People's Council Deputies at all levels

People's Council Deputies as stipulated in Clause 8, Article 1 of this Circular shall base their activity fees on the activity fee coefficient for People's Council Deputies at all levels as prescribed in Clause 2, Article 75 of the Operation Regulations of People's Councils at All Levels issued together with Resolution No. 753/2005/NQ-UBTVQH11 dated April 2, 2005 of the Standing Committee of the National Assembly, calculated according to the following formula:

4. For personnel engaged in confidential work in confidential organizations as stipulated in Clause 9, Article 1 of this Circular.

a. Personnel engaged in confidential work who are military personnel or public security officers shall apply the method of calculating salaries and allowances as directed by the Ministry of Defense and the Ministry of Public Security;

b. Personnel engaged in confidential work who are not military personnel or public security officers and other personnel in confidential organizations shall implement the calculation of salaries, allowances, and retention differential coefficients (if applicable) as for civil servants, public officials, and employees according to the calculation method prescribed in Clause 1, Article 2 of this Circular.

Article 3. Implementation

1. Heads of agencies and units directly managing individuals receiving salaries, allowances, and activity fees as stipulated in Article 1 of this Circular shall base the calculation of salaries, allowances, retention differential coefficients (if applicable), and activity fees on the number of individuals as of May 1, 2009, in accordance with the guidance provided in this Circular.

2. Determination of the salary fund, allowance fund, activity fee fund, and additional fund requirements and funding sources for individuals receiving state budget salaries shall be carried out in accordance with the guidance of the Ministry of Finance.

3. The funds to implement the general minimum wage for workers as stipulated in Clause 7, Article 1 of this Circular shall be self-funded by the institution from its operating revenue in accordance with the provisions of the law.

4. This Circular takes effect 45 days from the date of issuance.

The salary, allowance (including retention differential coefficient, if applicable), and activity fee of the subjects as stipulated in Article 1 of this Circular shall be calculated based on the general minimum wage of VND 650,000/month from May 1, 2009.

Repeal Joint Circular No. 05/2007/TTLT-BNV-BTC dated December 10, 2007 of the Ministry of Home Affairs and the Ministry of Finance guiding the implementation of the general minimum wage from January 1, 2008 for state agencies, political organizations, socio-political organizations, and public institutions.

5. Deductions and entitlements calculated based on the general minimum wage shall be recalculated accordingly from May 1, 2009.

6. The Ministry of Defense and the Ministry of Public Security shall, after reaching consensus with the Ministry of Home Affairs and the Ministry of Finance, guide the implementation of the general minimum wage from May 1, 2009 for individuals under their management.

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./.