DECREE
On the policy for streamlining the establishment quota
___________
THE GOVERNMENT
Pursuant to the Law on Organization of the Government dated December 25, 2001;
Pursuant to the Social Insurance Law dated June 29, 2006;
To implement the Resolution of the Fourth Plenary Session of the Central Committee of the Communist Party of Vietnam's Tenth Congress on reforming and improving the organizational structure of Party agencies, guiding the reform of the state organizational structure, the Vietnam Fatherland Front, and political-social organizations;
Considering the proposal of the Minister of Home Affairs,
DECREE
PART I
GENERAL PROVISIONS
Article 1. Scope of Regulation
This Decree stipulates the policy on streamlining the establishment for administrative state agencies and public service units from central to district levels; state-owned enterprises undergoing shareholding, transfer, sale, merger, consolidation, dissolution, bankruptcy, or conversion into limited liability companies; state-owned agricultural and forestry farms being reorganized according to the provisions of the law.
Article 2. Scope of Application
1. Cadres, civil servants, and employees who are redundant due to the reorganization of the organization as decided by competent state authorities or due to the reorganization of the organization and staffing of public service units to implement the self-management and self-responsibility system regarding tasks, staffing, and finance as prescribed by law.
2. Individuals who cease holding leadership positions, including cadres elected or appointed to leadership and management positions due to reorganization or improvement of the organization, not re-elected but have not yet reached retirement age, and cannot be assigned to new job positions.
3. Cadres, civil servants, and employees who fail to meet the required qualifications for their current positions as stipulated by law and do not have other suitable job positions available for assignment, nor can they be trained to meet the qualification standards; those cadres, civil servants, and employees who are redundant due to unreasonable staffing structures within agencies and units that cannot be reassigned to other work.
4. Individuals who fail to complete assigned tasks in two consecutive recent years due to weak professional skills or poor health, or due to lack of responsibility, organizational discipline, but have not reached the level requiring termination of employment according to the assessment of competent state authorities.
5. Members of the Board of Directors, General Director, Deputy General Director, Director, Deputy Director, Chief Accountant, members of the Supervisory Board of state-owned enterprises implementing shareholding, transfer, sale, merger, consolidation, dissolution, bankruptcy, or conversion into limited liability companies according to the Enterprise Law 2005; Directors, Deputy Directors, Chief Accountants of state-owned agricultural and forestry farms being reorganized according to Decree No. 170/2004/NĐ-CP dated September 22, 2004 of the Government on the reorganization, renovation, and development of state-owned agricultural farms, Decree No. 200/2004/NĐ-CP dated December 3, 2004 of the Government on the reorganization, renovation, and development of state-owned forestry farms, but do not continue working at these enterprises, agricultural and forestry farms, or in the state sector.
Article 3. Principles of Streamlining Staffing
1. The streamlining of the establishment shall be carried out based on the reorganization and improvement of the organizational structure and the redeployment of labor in agencies and units.
2. The streamlining of the establishment must be conducted openly and democratically in accordance with the provisions of the law.
3. It shall not significantly affect or disrupt the thoughts and lives of cadres, civil servants, and employees. Payment of benefits and policies to individuals subject to the streamlining of the establishment must be timely, adequate, and accurate.
4. The list of individuals subject to the streamlining of the establishment and the budget for subsidies for each individual must be accurate, honest, and clear.
5. The policy on streamlining the establishment shall not be applied to individuals who request its application for personal reasons.
Article 4. Procedures for Implementing Staff Reduction
The head of the agency or unit shall organize the implementation of staff reduction procedures as follows:
1. Coordinate with trade unions within the agency or unit to disseminate and ensure understanding of the staff reduction policies stipulated in this Decree among cadres, civil servants, and public officials under their management.
2. Review functions and tasks to clearly identify those that are no longer suitable and need to be eliminated, those that overlap and need to be transferred to other agencies or units; those that require decentralization to lower levels, localities, or assignment to non-profit organizations or enterprises.
3. Reorganize subordinate organizations and units towards consolidation, elimination of intermediate stages, each structure being assigned multiple tasks, linked with improvements in work regulations and administrative procedures.
4. Arrange cadres, civil servants, and public officials according to the following contents:
a) Determine the organizational structure, number of cadres, civil servants, and public officials, and professional standards for each position within the agency or unit;
b) Classify cadres, civil servants, and public officials based on professional standards for civil service ranks and positions, linked with evaluations of their qualifications, capabilities, performance results, and moral character and health;
c) Select individuals with capability and moral character for long-term planning;
d) Develop staff reduction plans for each period/year (every six months).
5. Draft the Staff Reduction Plan to submit to the competent state authority for approval.
6. Prepare a list and budget for subsidies for each staff reduction target group every six months of the year, to be submitted to the competent state authority for approval.
7. Implement benefit and policy payments for staff reduction targets and settle the subsidy payment expenses for staff reduction targets according to the provisions of this Decree and related laws.
Article 5. Policies for Early Retirement
Chapter II
POLICIES FOR STREAMLINING STAFFING
1. Cadres, civil servants, and public officials who are staff reduction targets, aged between 55 and 59 for males, and between 50 and 54 for females, with at least 20 years of social insurance contributions, in addition to receiving retirement benefits as prescribed by law, also enjoy the following benefits:
a) Not subject to deductions from pension due to early retirement;
b) Receive a subsidy of three months' salary for each year of early retirement compared to point a, Clause 1, Article 50 of the Social Insurance Law;
c) Receive a subsidy of five months' salary for the first twenty years of service, with full social insurance contributions. For each additional year beyond twenty-one years, a subsidy of half a month's salary is provided.
2. Targets specified in Clause 5, Article 2 of this Decree, aged between 55 and under 60 for males, and between 50 and under 55 for females, with at least 20 years of social insurance contributions, are entitled to retirement benefits as prescribed by the Social Insurance Law and the benefits specified in points a, b, and c of Clause 1 of this Article.
3. If the targets specified in Clauses 1 and 2 of this Article have contributed to social insurance for at least 19 years and 6 months but less than 20 years, the agency or unit will make a one-time contribution for the remaining months, at the combined rate of the employee and employer contributions before staff reduction, into the retirement and death benefit fund to resolve the retirement benefits and enjoy the benefits specified in points a, b, and c of Clause 1 of this Article.
4. The termination policy stipulated in Article 7 of this Decree does not apply to the targets specified in Clauses 1, 2, and 3 of this Article.
4. The policy on termination of employment as provided for in Article 7 of this Decree shall not be applied to the subjects specified in Clauses 1, 2, and 3 of this Article.
Article 6. Policy for persons subject to streamlined staffing who transfer to work at organizations not regularly funded from the state budget.
1. Cadres, civil servants, and public officials subject to streamlined staffing who transfer to work at organizations not regularly funded from the state budget shall be entitled to the following allowances:
a) A subsistence allowance of three months' current salary;
b) A lump sum payment of half a month's salary for each year of service with full social insurance contributions.
2. The policy stipulated in Clause 1 of this Article shall not apply to those who have worked at public service units that were converted to enterprises or underwent shareholding reform and were retained to continue working; and those subject to streamlined staffing who are 57 years old or older for males and 52 years old or older for females.
Article 7. Policy for those who cease employment.
1. Immediate cessation policy
Cadres, civil servants, and public officials subject to streamlined staffing who immediately cease employment shall be entitled to the following allowances:
a) An allowance equivalent to three months' current salary to seek new employment.
b) An allowance of 1.5 months' salary for each year of service with social insurance contributions.
2. Policy for cessation after training
Cadres, civil servants, and public officials under 45 years old, in good health, with a sense of responsibility and organizational discipline but limited in professional qualifications or unsuitable for their assigned tasks, if they wish, may be provided conditions to undergo vocational training before ceasing employment and seeking new jobs, and shall enjoy the following benefits:
a) They shall receive their full current monthly salary and their agency or unit shall pay social insurance and medical insurance during the period of vocational training, up to a maximum of six months;
b) They shall receive a financial allowance (training fee) equal to the cost of the vocational training course, up to a maximum of six months' current salary, to pay to the vocational training institution;
c) After completing the training, they shall receive an allowance equivalent to three months' current salary at the time of training to seek new employment.
d) An allowance of half a month's salary for each year of service with social insurance contributions;
đ) The continuous service period during vocational training shall be counted, but it shall not be considered for annual salary increments.
3. Those who cease employment as specified in Clauses 1 and 2 of this Article shall retain their social insurance contribution periods and be issued a social insurance book or receive a one-time social insurance allowance according to the provisions of the Social Insurance Law; they shall not be entitled to the cessation policy as stipulated in Decree No. 54/2005/NĐ-CP dated April 19, 2005 of the Government on cessation policies and compensation for training costs for cadres and civil servants.
Article 8. Policy for those who cease holding leadership positions due to organizational restructuring.
1. Cadres and civil servants who cease holding leadership positions due to organizational restructuring shall retain their position allowances until the end of their appointed term or election period.
2. In cases where the appointed term is less than six months, they shall retain the allowance for six months. During the retention period, if they are reappointed or elected to a new position, they shall cease receiving the previous position allowance and instead receive the new position allowance from the date the appointment or election document takes effect.
Article 9. Calculation of Allowances
1. Monthly salary as defined in this Decree includes: salary based on rank and grade; position allowances, allowances for seniority exceeding the standard range, allowances for occupational seniority, and retained salary differential (if applicable).
2. The monthly salary for calculating the allowances prescribed in Article 5, Point b Clause 1 of Article 6, Point b Clause 1 and Point d Clause 2 of Article 7 of this Decree shall be calculated as the average of the actual monthly salary received over the last five years before streamlined staffing. For those who have not completed five years of service, the average of the actual monthly salary received throughout their entire period of service shall be used.
3. Those who have already received streamlined staffing allowances and are subsequently recruited by administrative agencies or public service units funded from the state budget shall return the amount of the received allowances (except for the training fee stipulated in Point b Clause 2 of Article 7 of this Decree). Those specified in Clause 5 of Article 2 of this Decree, if recruited by the state sector or state-owned enterprises that have undergone shareholding reform, must also return the received streamlined staffing allowances.
Agencies, units, and state companies recruiting individuals who have received streamlined staffing allowances as stipulated in this Decree shall be responsible for recovering the received allowances and remitting them to the state budget. Specifically, the recovered amount from those specified in Clause 5 of Article 2 of this Decree shall be fully remitted to the Enterprise Restructuring Support Fund.
Article 10. Sources of funds for implementing staff reduction
Clause 1. The funds to implement staff reduction policies for the subjects specified in Clauses 1, 2, 3, and 4 of Article 2 of this Decree shall be provided from the state budget, except for cases stipulated in Clause 2 of this Article.
Clause 2. For individuals recruited for the first time by public service units from October 29, 2003 onwards, who fall under the staff reduction policy as specified in Clauses 3 and 4 of Article 2 of this Decree, if recruited by a unit granted recruitment authority, the funds to implement the staff reduction policy for these individuals shall be sourced from the regular operating funds of that public service unit.
Clause 3. The funds to implement staff reduction policies for the subjects specified in Clause 5 of Article 2 of this Decree shall be allocated from the Enterprise Restructuring Support Fund as prescribed in Government Decree No. 110/2007/NĐ-CP dated June 26, 2007 on policies for surplus labor due to restructuring state-owned enterprises.
Chapter III
RESPONSIBILITIES OF ORGANIZATIONS AND UNITS IN IMPLEMENTING STAFF REDUCTION
Article 11. Responsibilities of heads of organizations and units directly managing cadres, civil servants, and public officials
Clause 1. Implement staff reduction according to the procedures stipulated in Article 4 of this Decree and guidance from higher-level management agencies; cooperate with the trade union at the same level to develop the staff reduction plan of their organization or unit before submitting it to the competent state agency for approval.
Clause 2. Submit the staff reduction plan, list, and funding for implementing staff reduction every six months to the competent state agency for approval.
3. Implement democratic regulations of the agency; publicly disclose the plan to streamline the establishment and the list of subjects within the scope of the streamlining of the establishment.
Article 12. Responsibilities of Ministers, Heads of Ministries Equivalent to Ministries, and Heads of Government Agencies
Clause 1. Implement staff reduction according to the procedures stipulated in Article 4 of this Decree.
Clause 2. Direct and guide subordinate agencies and units to organize the implementation of this Decree.
Clause 3. Direct the heads of subordinate agencies and units to develop staff reduction plans; compile lists of staff reduction targets and budget estimates for benefits to these targets every six months.
Clause 4. Within fifteen working days from the date of receipt of the proposal and staff reduction plan from subordinate agencies and units, approve the staff reduction plan of those agencies and units.
Clause 5. Direct the organizational and financial departments at the same level to review the list of staff reduction targets and funding for implementing staff reduction every six months of subordinate agencies and units; compile the list and budget estimate for implementing staff reduction of their ministry or sector and submit them to the Ministry of Home Affairs and the Ministry of Finance for resolution within their authority.
Clause 6. Within fifteen working days from the date of receipt of the proposal and list of staff reduction targets from subordinate agencies and units, approve the list of staff reduction targets of those agencies and units.
Clause 7. Within fifteen working days from the date of receipt of funding for implementing staff reduction from the Ministry of Finance, organize the payment of benefits and policies to staff reduction targets of their ministry or sector. After completing each payment period, compile and settle the accounts with the Ministry of Finance.
Clause 8. Annually, by the beginning of December, compile the results and evaluate the implementation of staff reduction in their ministry or sector and submit them to the Ministry of Home Affairs for consolidation to report to the Prime Minister.
Article 13. Responsibilities of the Chairman of the People's Committee of the province and centrally governed city
Clause 1. Implement staff reduction according to the procedures stipulated in Article 4 of this Decree.
2. Direct and guide departments, agencies, committees, People's Committees of districts, towns, cities under provinces, and affiliated public service units to organize the implementation of this Decree.
3. Direct the heads of affiliated agencies and units to develop plans for streamlining the establishment; compile lists of personnel subject to streamlining and budget estimates for benefits provided to these personnel on a semi-annual basis.
4. Within fifteen working days from the date of receipt of the report and plan for streamlining the establishment submitted by affiliated agencies and units, be responsible for approving the plan for streamlining the establishment of such agencies and units.
5. Direct the Department of Home Affairs and the Department of Finance to review the list of personnel subject to streamlining and the funds required for implementing streamlining measures on a semi-annual basis submitted by affiliated agencies and units; compile a list and budget estimate for funds required for implementing streamlining measures at the local level and send them to the Ministry of Home Affairs and the Ministry of Finance for resolution within their authority.
6. Within fifteen working days from the date of receipt of the report and list of personnel subject to streamlining submitted by affiliated agencies and units, be responsible for approving the list of personnel subject to streamlining of such agencies and units.
7. Within fifteen working days from the date of receipt of funds for implementing streamlining measures from the Ministry of Finance, organize the disbursement of benefits and policies for personnel subject to streamlining at the local level. After completing the disbursement period, consolidate and settle accounts with the Ministry of Finance.
8. Annually, at the beginning of December, compile results and evaluate the implementation of streamlining measures at the local level and submit them to the Ministry of Home Affairs for consolidation to report to the Prime Minister.
Article 14. Responsibilities of the Ministry of Home Affairs
1. Take the lead and coordinate with the Ministry of Finance to guide the implementation of this Decree.
2. Urge, inspect, and audit the implementation of streamlining policies as stipulated in this Decree.
3. Within seven working days from the date of receipt of the report and list of personnel subject to streamlining submitted by ministries, sectors, and localities,
the Ministry of Home Affairs shall be responsible for reviewing the personnel subject to streamlining based on the list of personnel subject to streamlining sent by ministries, sectors, and localities, and provide comments in writing to the Ministry of Finance to serve as the basis for temporarily allocating funds for implementing streamlining policies for ministries, sectors, and localities.
4. Annually, on December 31, report to the Prime Minister on the implementation of this Decree.
Article 15. Responsibilities of the Ministry of Finance
1. Coordinate with the Ministry of Home Affairs to guide the implementation of this Decree.
2. Prepare a budget estimate for implementing this Decree and submit it to the competent authority for decision in accordance with the State Budget Law.
3. Within seven working days from the date of receipt of the report, list of personnel subject to streamlining, and written comments from the Ministry of Home Affairs regarding streamlining measures of ministries, sectors, and localities, the Ministry of Finance shall be responsible for reviewing the calculation of benefits and policies, budget estimates for implementing streamlining measures, and allocate funds for ministries, sectors, and localities to implement streamlining measures.
Article 16. Responsibilities of the Vietnam Social Security
The Vietnam Social Security shall be responsible for providing guidance on business operations and directing the provincial social security agencies under the central government to carry out the following tasks:
1. Collecting social insurance contributions as prescribed in this Decree.
2. Handling social insurance policies and benefits for officials, civil servants, and public employees as stipulated in this Decree.
Chapter V
IMPLEMENTING PROVISIONS
Article 17. Complaints, Accusations, and Handling Violations
1. Individuals and organizations that discover the implementation of the policy on reducing the number of administrative staff not in accordance with the provisions of this Decree have the right and responsibility to file complaints and accusations with competent state agencies in accordance with the laws on complaints and accusations.
2. In cases where the wrong individuals are reduced from the staff, in addition to disciplinary action, they must also compensate for the funds already disbursed according to the law.
1. This Decree takes effect fifteen days after its publication in the Official Gazette and remains effective until December 31, 2011.
Article 18. Effective Date
2. This Decree replaces Resolution No. 16/2000/NQ-CP dated October 18, 2000 of the Government on reducing the number of administrative staff in administrative agencies and public service units, and Resolution No. 09/2003/NQ-CP dated July 28, 2003 of the Government amending and supplementing Resolution No. 16/2000/NQ-CP dated October 18, 2000 of the Government on reducing the number of administrative staff in administrative agencies and public service units.
1. The Office of the National Assembly, the Office of the President, the Supreme People's Court, the Supreme People's Procuracy, the State Audit Agency, the Office of the Central Steering Committee for Preventing and Combating Corruption, political organizations, and political-social organizations shall guide subordinate agencies and units to implement the policy on reducing the number of administrative staff based on the provisions of this Decree.
Article 19. Responsibility for Implementation
2. Ministers, heads of ministerial-level agencies, heads of agencies under the Government, and Chairpersons of provincial People's Committees under the central government are responsible for implementing this Decree./.
2. The Ministers, Heads of ministerial-level agencies, Heads of government-attached agencies, and Chairpersons of provincial People's Committees under central cities shall be responsible for implementing this Decree./.