Circular No. 14-TC/CNXD on distinguishing sources of funding for enrolling students in vocational technical training schools and recruiting workers in the construction industry.

CIRCULAR

Regarding the differentiation of funding sources for admitting students to vocational technical training schools and recruiting labor for the construction industry.

Implementing Directive No. 84-TTg dated April 23, 1973 of the Prime Minister, assigning the Ministry of Finance to stipulate the sources of funding for vocational technical training;

In light of the increasing scale of basic construction, some sectors and localities annually recruit large numbers of workers from society to supplement construction contracting enterprises and enroll them in vocational technical training schools in the construction sector.

Based on current legal documents: Decree No. 24-CP dated March 13, 1963 of the Council of Ministers, Circular No. 186-TTg dated July 2, 1971 of the Prime Minister, Decision No. 29-LĐ/QĐ dated April 7, 1973 of the Ministry of Labor, Circular No. 05-TC/LB dated June 6, 1973 of the Joint Ministry of Labor-Finance... the Ministry of Finance guides the differentiation of funding sources for recruitment, accommodation, and training for the newly recruited workers as follows.

I. FOR LABOR FROM SOCIETY DIRECTLY ENROLLED IN VOCATIONAL TECHNICAL TRAINING SCHOOLS IN THE CONSTRUCTION SECTOR, INCLUDING SCHOOLS UNDER THE MINISTRY'S DIRECT MANAGEMENT AT THE CENTRAL LEVEL AND SCHOOLS UNDER LOCAL ADMINISTRATIVE COMMITTEES AND ENTERPRISES.

1. Recruitment expenses include sending personnel to recruit, remuneration for cadres from communes participating in recruitment, costs for recruitment documents, examination fees, etc., from the beginning until the commune or district hands over students to the schools. These have been detailed in Circular No. 05-TT/LB dated June 6, 1973 of the Joint Ministry of Labor-Finance.

2. Travel expenses for workers recruited from the handover point (commune or district) to the school shall be estimated based on reasonable needs. They will then be settled according to actual expenditure and the travel allowance system for state officials on official business. This expense is covered by the operational budget.

3. Food expenses are handled as follows:

- The food expenses of students from the handover point (commune or district) to their place of study, from departure until the official opening day, are borne by the training operational budget at 0.30 dong per meal, including 0.250 kg of rice.

Schools must quickly stabilize the organization of study, and may not take advantage of the training budget to send students to work for the school or participate in production for enterprises, thereby delaying the opening date and wasting the state's training budget.

- Food expenses from the opening day onwards are included in the scholarship system for each type of profession as stipulated in Directive No. 84-TTg dated April 23, 1973, and are covered by the operational budget.

4. Construction expenses for schools and student housing, including new construction and expansion, purchasing equipment for practical training, kitchen equipment, and bedding for students, are funded by the capital investment budget for basic construction.

In cases where annual training quotas assigned by the state increase the need for purchasing practical training equipment, kitchen equipment, and bedding for students without requiring additional construction or buildings, these expenses are covered by the training operational budget.

In cases where accommodation and study facilities rely on civilian houses but require additional temporary kitchen and canteen buildings, storage facilities, such arrangements must be approved by the competent ministry or municipal/provincial administrative committees and are covered by the operational budget.

To obtain state budget allocation in the two aforementioned cases, the following bases are required: approval documents for training quotas from higher authorities; inventory lists of existing assets; estimates of manpower and materials for temporary construction projects. All these bases must be reviewed by the management authority and submitted to the financial authority for verification before allocation.

II. FOR LABOR FROM SOCIETY DIRECTLY RECRUITED BY CONSTRUCTION ENTERPRISES TO PARTICIPATE IN DIRECT PRODUCTION AND CONSTRUCTION

1. Recruitment expenses from the locality to the point of handover to enterprise representatives at the commune or district level are clearly stipulated in Circular No. 05-TT/LB dated June 6, 1973 of the Joint Ministry of Labor-Finance.

2. Specifically regarding travel and food expenses for workers recruited from the handover point to the enterprise for assignment, these are accounted for under indirect cost items in the construction project cost, regardless of whether it is a large or small recruitment.

3. Additional construction and purchase of collective dining equipment for the enterprise to serve the newly recruited workers are handled according to Article 8 of Circular No. 186-TTg dated July 2, 1971 of the Prime Minister, which means that the first source of funding is the enterprise fund. If insufficient, the enterprise requests the competent ministry (for central enterprises) or municipal/provincial administrative committees (for local enterprises) to allocate funds from the capital investment budget for basic construction (part of the basic construction capital).

III. OTHER SPECIFIC REGULATIONS

The Ministry of Finance specifies the following additional specific cases:

1. New recruits or old workers in the industry who are enrolled in schools (under the direct management of the competent authority or adjacent to construction companies) for new training, skill enhancement, or technical advancement must complete the full curriculum as prescribed. The training period includes both theoretical study and practical training, continuous or interwoven, and must last at least six months (as per Decision No. 29-LĐ/QĐ of the Ministry of Labor dated April 7, 1973, establishing regulations for vocational schools). In this case, living expenses or scholarships are covered by the training operational budget. For concentrated supplementary training lasting less than six months, it must be accounted for in the construction project cost.

2. In cases where production and construction are combined with study to take advantage of training certain specific knowledge, these training costs must be included in the production cost of construction works. This case shall not be counted as training expenses. Circular No. 186-TTg dated July 2, 1971 of the Prime Minister stipulates as follows: "For enterprises currently engaged in production, all mentoring and training of staff and workers during the production and business process, aimed at utilizing spare equipment, replacing workers who have lost their labor capacity, improving technical levels and occupational skills (including specialized professional knowledge) fall under the responsibility of the enterprise and the costs shall be accounted for in the production cost."

3. For workers recruited for production and construction, then transferred to formal school-based training, the vocational training expenditure shall be borne according to the following principles:

a) For those transferring to learn mechanical trades, machinery installation, welding, automobile driving, boat piloting, motorcycle repair, or other similarly complex technical trades, if they had continuously participated in production and construction work prior to this and were officially registered for at least eighteen months, they will be entitled to subsistence allowance according to the regulations for officials, employees, and workers attending school.

b) For those transferring to learn carpentry, masonry, concrete, steel reinforcement, prefabricated housing assembly, surveying and measurement, building materials production, pipeline installation, or other similar technical trades, if they had continuously participated in production and construction work prior to this and were officially registered for at least twelve months, they will be entitled to subsistence allowance according to the regulations for officials, employees, and workers attending school.

c) In both cases where the time spent in official registration does not meet the requirements set out in points a and b above, if they are transferred to training, they must receive scholarship benefits according to their field of study. It is absolutely prohibited to exploit the principle stated in Decree No. 24-CP dated March 13, 1963 to grant subsistence allowance equivalent to ninety-five percent of the basic salary.