Decree No. 112/2004/ND-CP on the mechanism for managing establishment quotas for state-run public service units

 DECREE

Regulations on the mechanism for managing establishment quotas for state-owned public service units

THE GOVERNMENT

Pursuant to the Law on Organization of the Government dated December 25, 2001;
Pursuant to the Civil Servant Ordinance dated February 26, 1998 and the Ordinance Amending and Supplementing Certain Articles of the Civil Servant Ordinance dated April 29, 2003;
At the request of the Minister of Home Affairs,

DECREE

PART I
GENERAL PROVISIONS

Article 1. This Decree stipulates the mechanism for managing establishment quotas for state-owned public service units that have their own seals and bank accounts established by state authorities with competent authority to decide on establishment (hereinafter referred to as public service units).

Article 2. In this Decree, the following terms are understood as follows:

1. "Establishment quota" means the number of people working in public service units decided by the unit itself or approved by the competent authority according to the provisions of law.

2. "Direct supervising agency" means the agency with administrative, professional, and technical management authority over subordinate public service units.

3. "Agency with authority to manage establishment quotas" means Ministries, ministerial-level agencies, agencies under the Government, and People's Committees of provinces and centrally governed cities.

Article 3. Objectives of the mechanism for managing establishment quotas for public service units

1. Separating the state administrative management function from the operational management function of public service units, enhancing the effectiveness of state administrative management and the efficiency of public service unit operations.

2. Creating conditions for public service units to be autonomous in organizing the implementation of tasks, managing and using establishment quotas, paying salaries to civil servants; promoting financial autonomy of public service units.

3. Public service units have the opportunity to implement socialization of public service activities, utilizing resources effectively, better serving the needs of national economic and social development, contributing to improving the living standards of civil servants.

Article 4. Principles of the mechanism for managing establishment quotas for public service units

1. Managing and using establishment quotas in accordance with the functions and tasks of public service units, ensuring quality in serving state administrative management work or public services according to standards and economic-technical norms issued by competent authorities.

2. Public service units manage and use establishment quotas, implement systems and policies for civil servants, and fulfill obligations to the state, resolve complaints of civil servants, and are subject to supervision, inspection, and audit regarding the management and use of establishment quotas by the agency with authority to manage establishment quotas and other relevant state agencies as prescribed by law.

3. Public service units comply with regulations on information and reporting to the agency with authority to manage establishment quotas.

4. Implement transparency and democracy in the management and use of establishment quotas, salary funds, and income of civil servants as prescribed by law.

Chapter II
SPECIFIC PROVISIONS

Article 5. Tasks and powers of public service units in building establishment plans

1. Based on the functions and tasks assigned for the planning year and actual work requirements, financial capacity, and establishment norms, public service units build annual establishment plans and submit them to the direct supervising agency for consolidation and resolution within its authority.

2. The establishment plan of public service units includes:

a) Establishment for performing the unit's tasks assigned by the competent authority up to December 31, 2003; for public service units already applying the financial system under Decree No. 10/2002/NĐ-CP dated January 16, 2002 of the Government on the financial system applicable to revenue-generating public service units, the establishment and the time of assignment shall be decided by the competent state authority when approving the unit's proposal;

b) Establishment for adjusting the unit's public service tasks at the request of the competent state authority;

c) Establishment for providing public services according to societal demand, but must be consistent with the unit's functional, industry, and professional expertise and legal provisions.

3. Annual establishment plans of public service units must be complete in content, conforming to the prescribed format and time frame guided by the agency with authority to manage establishment quotas.

Article 6. Tasks and powers of public service units in terms of establishment indices

1. Revenue-generating public service units fully self-financing their regular operating costs may decide on their own establishment.

2. Revenue-generating public service units partially self-financing their regular operating costs, which are allocated state funds to implement a budgetary system for certain types of public services or allocated funds based on cost norms per workload, may decide on their own establishment, consistent with their tasks and additional annual funding according to the ratio determined by the competent state authority.

3. Revenue-generating public service units partially self-financing their regular operating costs not yet allocated state funds as provided in Clause 2 of this Article, shall propose to the agency with authority to manage establishment quotas for approval of additional establishment, consistent with their tasks and additional annual funding according to the ratio determined by the competent state authority.

4. Non-revenue generating or low-revenue public service units shall propose to the agency with authority to manage establishment quotas for decision on additional annual establishment, consistent with their tasks and additional annual funding according to the ratio determined by the competent state authority.

Article 7. Tasks and powers of public service units in terms of using establishment quotas

1. Reorganize civil servants (including those who were hired before this Decree takes effect) to enhance the efficiency and quality of unit operations. Job assignments and placements must match the assigned tasks with the civil servant ranks and state regulations on service and duty systems.

2. Sign initial employment contracts with persons recruited within the establishment quota specified in Article 6 of this Decree according to the laws on cadres and civil servants. Those signing contracts for a term of 12 months or more or without a fixed term must meet the required criteria for the position and fit the professional structure as prescribed by law.

3. Public service units may decide on hiring or contracting out work for tasks that do not require permanent staffing.

4. Decide on the transfer, secondment, commendation, and disciplinary actions for civil servants within the unit.

5. Comply with the transfer, secondment, and rotation of civil servants by the agency with authority to manage cadres and civil servants.

6. The entity shall decide to reduce staff quota or terminate employment contracts with its officials according to the provisions of the law on cadres and civil servants. The procedures for reducing staff quota and terminating employment contracts shall be carried out in accordance with the provisions of the law on cadres and civil servants. The treatment for those whose staff quotas are reduced or whose employment contracts are terminated shall be implemented in accordance with the provisions of the law.

Article 8. Duties and powers of the entity regarding the salary fund and income of officials

1. An entity with revenue sources shall have autonomy and be responsible for its own salary fund and the income of its officials in accordance with the provisions of Government Decree No. 10/2002/NĐ-CP dated January 16, 2002, on financial regulations applicable to entities with revenue sources.

2. An entity without revenue sources or with low revenue sources shall have duties and powers regarding the salary fund and income of its officials in accordance with the provisions of the law.

Article 9. Rights and obligations of officials in entities

Officials who enter into employment contracts for a term of twelve months or more or indefinite-term employment contracts shall be assigned salaries according to the state salary scale and enjoy rights and obligations as prescribed by the law on cadres and civil servants.

Article 10. Duties and powers of the direct supervisory agency

1. Direct and inspect subordinate entities to prepare staffing plans in accordance with the guidelines of the competent authority managing staffing.

2. Inspect and adjust staffing plans of entities specified in Clauses 3 and 4 of Article 6 of this Decree to ensure consistency between the staffing plan and the functions, tasks, and financial capacity of the entity.

3. Aggregate the staffing of subordinate entities; draft the staffing plan of its own entity and submit it to the competent authority managing staffing.

4. Take the lead and coordinate with the finance agency and social insurance agency at the same level to monitor, inspect, and audit subordinate entities in the management and use of staffing, implementation of regulations and policies for officials as stipulated in this Decree and other relevant laws.

5. Cancel or require the heads of subordinate entities to cancel decisions made by their entities on the management and use of staffing, salary funds, and income of officials that contravene the provisions of the law.

6. Resolve complaints and denunciations concerning the management and use of staffing of entities and officials within its jurisdiction in accordance with the provisions of the law.

Article 11. Duties and powers of the competent authority managing staffing

1. Guide the direct supervisory agencies and entities to prepare annual staffing plans.

2. Approve staffing plans of entities specified in Clauses 3 and 4 of Article 6 of this Decree, ensuring consistency between the staffing plan and the functions, tasks, and financial capacity of the entity, based on the proposal of the direct supervisory agency.

3. Statistic and report on the staffing of ministries, sectors, and localities to the Ministry of Home Affairs for consolidation and inspection; the content, form, and time of reporting and statistics shall follow the guidance of the Ministry of Home Affairs.

4. Monitor, inspect, and audit the management and use of staffing, implementation of regulations and policies for officials of direct supervisory agencies and entities in accordance with the provisions of this Decree and other relevant laws.

5. Cancel decisions of direct supervisory agencies and subordinate entities on the management and use of staffing, salary funds, and income of officials that contravene the provisions of the law.

6. Resolve complaints and denunciations concerning the management and use of staffing of entities and officials within its jurisdiction in accordance with the provisions of the law.

Chapter III
IMPLEMENTING PROVISIONS

Article 12. Effectiveness

This Decree shall take effect fifteen days from the date of publication in the Official Gazette. Provisions contrary to this Decree are abolished.

Article 13. Responsibility for guidance

1. The Minister of Home Affairs is responsible for guiding the implementation of this Decree.

2. The Minister of National Defense and the Minister of Public Security shall base on the provisions of this Decree to guide the application for subordinate entities.

Article 14. Responsibility for Implementation

Ministers, Heads of ministerial-level agencies, Heads of agencies under the Government, and Chairpersons of provincial and centrally-administered city People's Committees shall be responsible for implementing this Decree.