Circular No. 1-TC/HCVX stipulates the allowance for transportation expenses for workers and civil servants

CIRCULAR

OF THE MINISTRY OF FINANCE NUMBER 1-TC/HCVX DATED JANUARY 8, 1986 REGULATING THE SUBSIDY SYSTEM FOR RAIL AND ROAD TRAVEL EXPENSES FOR WORKERS AND EMPLOYEES

To align with the new salary system, after consultation with the Ministry of Labor and the Vietnam General Confederation of Labor, the Ministry of Finance hereby regulates the subsidy system for rail and road travel expenses for cadres, workers, and employees (referred to hereinafter as workers and employees) as follows:

A. SUBSIDY FOR ANNUAL LEAVE TRAVEL EXPENSES

The State continues to implement the subsidy system for annual leave travel expenses for workers and employees. The Ministry of Finance provides specific guidance as follows:

1. Recipients of the annual leave travel expense subsidy.

These are workers and employees who meet the conditions for annual leave according to the prescribed regulations, and who are granted annual leave by their agency, enterprise, or unit to visit family. Family, as mentioned herein, includes biological parents or in-laws on either side; spouse and children.

Workers and employees who are granted leave outside the annual leave system do not fall under the scope of the travel expense subsidy as stipulated above.

2. Conditions for reimbursement.

Annual leave travel expenses are subsidized once a year for workers and employees traveling to a designated location (both outbound and return trips) to visit family as specified above. The destination for leave is chosen by the worker or employee and recorded on the annual leave certificate, and is reimbursed based on the fare of state-owned transportation means such as buses, trains, canoes, coastal ships. If workers and employees take leave to visit family at multiple locations or take leave in several separate instances, they will only be reimbursed for travel expenses once (outbound and return trip) to a designated location. For sections of the route where there are no state-owned transportation means and private transportation must be used, or walking, bicycles, or motorcycles are employed, the reimbursement will still be based on the fare of one of the common state-owned transportation means operating within that locality.

On routes with various types of state-owned transportation means, workers and employees will be reimbursed based on the fare of the type of transportation they use. For the North-South railway and coastal ships running along the North-South route, the fare will be uniformly calculated based on the standard ticket price (excluding first-class tickets or sleeper tickets).

If workers and employees purchase air tickets or rent private tour vehicles, they will only be reimbursed for the fare of common state-owned transportation means.

3. Reimbursement procedures and accounting.

Workers and employees will have their full annual leave travel expenses (both outbound and return trips) reimbursed by their agency, enterprise, or unit. This subsidy will be accounted for as part of production costs or circulation fees (if it is a production or business entity); or covered by the budget (if it is an administrative, public service, or military entity).

Travel expenses for annual leave in a given year must be reimbursed in that same year. In cases where the annual leave is postponed until the first quarter of the following year due to work reasons, reimbursement will still be provided.

The annual leave travel expense subsidy will only be reimbursed if workers and employees actually take leave to visit family. If they do not take leave but have someone else certify the reimbursement or use transportation from another agency or unit without reimbursement, this will be considered a violation of financial discipline. The violator must repay the public fund and face appropriate disciplinary action.

4. Workers and employees who are assigned long-term to communes, cooperatives in mountainous areas, border regions, islands, or those working in agencies and enterprises in mountainous areas and border regions (including those originally from lowland or mountainous areas) when taking annual leave to visit family, in addition to travel expenses, will also receive subsistence allowances and accommodation expenses (if applicable) for days spent waiting to purchase train or bus tickets along the way, as stipulated in Directive No. 429-CP dated December 5, 1979 of the Council of Ministers.

5. The subsidy system for annual leave travel expenses regulated in this Circular shall take effect from January 1, 1986.

For cases that took leave in 1985 but had not been reimbursed for travel expenses, they will be reimbursed according to the provisions of Circular No. 5-TC/HCVX dated March 23, 1981 of the Ministry of Finance.

B. SUBSIDY FOR MONTHLY BUS TICKET PURCHASE

1. Eligibility for monthly bus ticket purchase.

These are workers and employees who travel daily from home to their workplace and must use bus services on routes where bus services operate.

Those eligible must register with their agency, enterprise, or unit regarding the route they need to travel, for the agency, enterprise, or unit to review.

2. Procedures for purchasing tickets and reimbursement accounting:

The agency, enterprise, or unit will purchase monthly bus tickets for its workers and employees. Individuals using monthly bus tickets must pay their agency, enterprise, or unit an amount equal to 3% of their position salary or rank salary.

The difference between the monthly ticket price and the amount each person must pay shall be accounted for in the cost of production or circulation fee (if it is a business entity); shall be covered by the budget (if it is an administrative or public service agency and armed forces units).

The provisions on monthly bus ticket purchase subsidies as above shall take effect from October 1, 1985.