Pursuant to …;

Regarding the expansion of the pilot program for allocating personnel quotas and administrative management expenses

to state administrative agencies

___________________

PRIME MINISTER

Pursuant to the Government Organization Law dated September 30, 1992;

Pursuant to the Decree on Thrift and Prevention of Waste dated February 26, 1998;

Pursuant to Resolution No. 05/2000/NQ-CP dated April 3, 2000 of the Government on the regular meeting in March 2000;

Pursuant to the Government's Administrative Reform Program for 2001 issued together with Decision No. 13/2001/QĐ-TTg dated January 18, 2001;

Considering the proposal of the Minister of Finance, the Minister, Head of the Organizational-Cadre Department of the Government, based on the summary of implementing the pilot program for allocating personnel quotas and administrative management expenses at some initial units,

DECISION:

Article 1Expand the pilot program for allocating personnel quotas and administrative management expenses to state administrative agencies and organizations directly using state budget funds.

This mechanism shall not be applied to public service units under the agencies implementing the allocation.

Article 2The expansion of the pilot program for allocating personnel quotas and administrative management expenses aims to achieve the following objectives and requirements:

1. To reform the management mechanisms for personnel quotas and expenses for state administrative agencies and organizations funded by the State.

2. To promote the restructuring and organization of leaner structures to enhance the quality and efficiency of work in agencies and units.

3. To practice thrift and combat waste in the use of administrative management expenses.

4. To increase labor productivity and the efficiency of administrative expense utilization within agencies and units, thereby increasing income for civil servants.

Article Agencies and units implementing the pilot program for allocating personnel quotas and administrative management expenses must adhere to the following principles:

1. Ensuring the fulfillment of assigned functions and tasks.

2. Not increasing personnel quotas and total expenses for allocated items compared to before the implementation of the allocation.

3. Implementing transparency, democracy, and ensuring the legitimate rights of civil servants.

Article 4The selection of agencies and units directly using state budget funds to implement the pilot program for allocating personnel quotas and administrative management expenses must meet the following conditions:

1. Having clear functions and tasks and a stable organizational position determined by competent state authorities.

2. Having a stable assigned personnel quota that is expected to remain unchanged during the allocation period and is appropriate to the agency’s or unit’s functions and tasks.

3. Having a pilot program for allocating personnel quotas and administrative management expenses approved by the competent authority.

Article 5Content and level of allocation.

1. Allocated personnel quota:

The allocated personnel quota is the number of positions assigned by the competent state authority to agencies and units implementing the pilot program after reviewing the current personnel quota and stabilizing it for three years from the start of the pilot program.

2. Allocated state budget expenses are stabilized for three years, including:

a) Total salary fund determined based on the allocated personnel quota and the rank and grade of civil servants according to Decree No. 25/CP dated May 23, 1993 of the Government and current national wage policy-related regulations.

b) Administrative management expenses determined based on:

- The system of standards, norms, and regulations for the use of recurrent budget expenses as prescribed;

- Actual expenditure trends over the three consecutive years prior to the pilot program, taking into account sudden increases or decreases.

The level of allocated administrative expenses may be adjusted in the following cases:

- When the State changes its wage policy;

- When there is a minimum change of 20% in the standards and norms currently serving as the basis for budget planning and allocation for allocated items;

- When the State increases spending on areas covered by the allocation;

- When agencies or units are merged or divided according to the decision of the competent authority.

Allocation shall not apply to the following expenditures:

- Major repairs of equipment, facilities, headquarters, and official residences;

- Purchase of fixed assets, renovation, and construction of headquarters and official residences;

- Travel expenses;

- Training expenses for civil servants.

For non-allocated expenditures, disbursement and settlement shall be carried out according to current regulations.

Article 6Rights and responsibilities of agencies and units directly using personnel quotas and expenses implementing the pilot program.

1. Rights:

a) To proactively reorganize internal structures of agencies and units in accordance with administrative reform goals and requirements of the pilot program.

b) To proactively allocate and utilize allocated funds in accordance with actual needs.

c) To decide on the use of savings from allocated expenditures; if unused in the year, it can be carried forward to the next year. Agencies and units implementing the pilot program must establish a regulation for using saved funds as follows:

- Savings from the salary fund due to staff reduction shall be fully used to increase income for civil servants.

- Savings from administrative, operational, and other expenses can be used for purposes such as increasing income for civil servants, welfare expenses, rewards, enhancing work efficiency and quality, and additional subsidies for those voluntarily retiring during restructuring (if applicable). Within the scope of saved funds, agencies and units may apply a wage adjustment factor not exceeding 2.5 times the national minimum wage set by the State to calculate wages and allowances for civil servants.

- For agencies and units where savings are unstable, they may establish a reserve fund to stabilize income. The amount to be set aside for the reserve fund from saved funds is decided by the unit itself.

2. Responsibilities of the head of agencies and units implementing the pilot program:

a) To fulfill assigned functions and tasks effectively.

b) To develop and implement the pilot program plan, restructure organizational structures, reduce staff, and use saved funds according to democratic and transparent principles as stipulated in the Regulation on Democratic Implementation in Agency Operations and current regulations.

c) Periodically every six months, organize interim reviews and evaluations of the operational situation and results of the pilot budgetary assignment to adjust accordingly.

, Clause 1, Clause 2 Article 7a of this Regulation.Responsibilities of agencies and units implementing budgetary assignments regarding the delegation of assignments to subordinate units (if applicable).

1. Delegate personnel quotas to subordinate units in accordance with Clause 1, Article 5 of this Decision.

2. Delegate funds and approve final accounts for subordinate units based on the total assigned budget amount.

Article 8Responsibilities of the Minister, Head of a ministry equivalent to a ministry, Head of a government agency, and Chairman of provincial/municipal People's Committees directly under the central government in piloting budgetary assignments:

1. Guide subordinate agencies and units to develop proposals for piloting budgetary assignments, and select agencies and units to implement such pilots based on these proposals.

2. Approve proposals and direct implementation for agencies and units piloting budgetary assignments according to guidelines from the Ministry of Finance and the Government's Organization and Cadre Affairs Board.

3. Address the number of staff reduced due to organizational restructuring of agencies and units implementing budgetary assignments as follows:

a) Prioritize transferring them to organizations that do not use personnel quotas and receive salaries from the state budget.

b) Resolve their termination of employment in accordance with current laws governing the termination of employment for officials and civil servants and the reduction of personnel quotas in administrative agencies and public institutions.

c) Do not use the personnel quota savings obtained by agencies and units receiving assignments as a source to supplement personnel quotas for other agencies and units using personnel quotas and receiving salaries from the state budget.

4. Continuously monitor and urge agencies and units implementing budgetary assignments, promptly taking measures to correct their activities or disciplining individuals who violate regulations stipulated in Article 3 of this Decision.

5. Annually organize interim reviews and evaluations to draw lessons from directing the implementation of budgetary assignment pilots; in cases where issues arise beyond their authority to resolve, they must work with relevant ministries and sectors to reach a consensus on solutions.

Article 9Responsibilities of the Ministry of Finance and the Government's Organization and Cadre Affairs Board

1. The Minister of Finance is responsible for:

a) Developing and promulgating model proposals as a basis for subordinate agencies and units to formulate specific proposals for piloting budgetary assignments.

b) Specifying details regarding expenditures for piloting budgetary assignments.

c) Issuing temporary regulations on the preparation of budgets, disbursement, settlement, and final accounting for budgetary assignments and the use of savings from such assignments.

2. The Minister and the Head of the Government's Organization and Cadre Affairs Board are responsible for guiding ministries, sectors, and provincial/municipal People's Committees in determining and delegating personnel quotas for budgetary assignments.

3. The Ministry of Finance leads, in coordination with the Government's Organization and Cadre Affairs Board, ministries, agencies equivalent to ministries, government agencies, and provincial/municipal People's Committees, to monitor, inspect, and resolve issues arising during the implementation of budgetary assignment pilots within their authority; annually, organize evaluations to draw lessons, compile reports to the Prime Minister on the implementation of budgetary assignment pilots, and propose recommendations to the Government for reforming management mechanisms for personnel quotas and administrative expenses for administrative agencies and organizations funded by the state budget.

Article 10Implementation of the pilot program shall be carried out as follows:

1. Ministries, agencies equivalent to ministries, government agencies, and provincial/municipal People's Committees directly under the central government shall select agencies and units to implement the pilot program and prepare plans for piloting personnel quotas and administrative management expenses, which shall be submitted to the Ministry of Finance.

2. The Ministry of Finance shall lead, in coordination with the Government's Organization and Cadre Affairs Board, to select and decide on ministries, sectors, and localities to implement the pilot program.

3. The Minister, Head of an agency equivalent to a ministry, Head of a government agency, and Chairman of provincial/municipal People's Committees directly under the central government implementing the pilot program shall be responsible for delegating assignments to subordinate units and coordinating with the Ministry of Finance and the Government's Organization and Cadre Affairs Board to direct, inspect, and supervise the implementation of these units.

Article 11The Minister of Finance, the Minister, and the Head of the Government's Organization and Cadre Affairs Board are responsible for guiding and organizing the implementation of this Decision.

Article 12. This Decision shall take effect fifteen days from the date of signature.

Ministers, heads of ministerial-level agencies, heads of government-affiliated agencies, Chairpersons of provincial and centrally-administered city People's Committees are responsible for implementing this Decision.