Joint Circular No. 31/2014/TTLT-BLDTBXH-BQP amends and supplements the name and some provisions of Joint Circular No. 26/2011/TT-BLDTBXH-BQP dated October 12, 2011 guiding the implementation of the pilot management of salary for the Military Post and Telecommunications Group during the period of 2011-2013 pursuant to Decree No. 65/2011/NĐ-CP dated July 29, 2011 of the Government.

JOINT CIRCULAR

Amending and supplementing the name and some articles of Circular Joint No. 26/2011/TTLT-BLDTBXH-BQP dated October 12, 2011 of the Ministry of Labor - War Invalids and Social Affairs,Ministry of Defense guiding the implementation of pilot management of salary for the Parent Company - Military Post and Telecommunications Group during the period 2011-2013 pursuant to Government Decree No. 65/2011/NĐ-CP dated July 29, 2011.On the basis of Government Decree No. 65/2011/NĐ-CP dated July 29, 2011 implementing the pilot management of salary for the Parent Company - Military Post and Telecommunications Group during the period 2011-2013;On the basis of Government Decree No. 74/2014/NĐ-CP dated July 23, 2014 amending and supplementing some articles of Government Decree No. 65/2011/NĐ-CP dated July 29, 2011 implementing the pilot management of salary for the Parent Company - Military Post and Telecommunications Group;

------------------------------ 

Pursuant to Decree No. 106/2012/NĐ-CP dated December 20, 2012, of the Government, stipulating the functions, tasks, powers, and organizational structure of the Ministry of Labor, Invalids, and Social Affairs;

Pursuant to Decree No. 35/2013/NĐ-CP dated April 22, 2013, of the Government, stipulating the functions, tasks, powers, and organizational structure of the Ministry of National Defense;

The Minister of Labor - War Invalids and Social Affairs, the Minister of Defense promulgates this Circular Joint amending and supplementing the name and some articles of Circular Joint No. 26/2011/TT-BLDTBXH-BQP dated October 12, 2011 of the Ministry of Labor - War Invalids and Social Affairs, Ministry of Defense guiding the implementation of pilot management of salary for the Parent Company - Military Post and Telecommunications Group during the period 2011-2013 pursuant to Government Decree No. 65/2011/NĐ-CP dated July 29, 2011.

Amending the name of Circular Joint No. 26/2011/TTLT-BLDTBXH-BQP dated October 12, 2011 of the Ministry of Labor - War Invalids and Social Affairs, Ministry of Defense guiding the implementation of pilot management of salary for the Parent Company - Military Post and Telecommunications Group during the period 2011-2013 pursuant to Government Decree No. 65/2011/NĐ-CP dated July 29, 2011

Amending the name of Circular Joint No. 26/2011/TTLT-BLDTBXH-BQP dated October 12, 2011 of the Ministry of Labor - War Invalids and Social Affairs, Ministry of Defense guiding the implementation of pilot management of salary for the Parent Company - Military Post and Telecommunications Group during the period 2011-2013 pursuant to Government Decree No. 65/2011/NĐ-CP dated July 29, 2011 (hereinafter referred to as Circular Joint No. 26/2011/TTLT-BLDTBXH-BQP) to "Circular Joint No. 26/2011/TTLT-BLDTBXH-BQP dated October 12, 2011 of the Ministry of Labor - War Invalids and Social Affairs, Ministry of Defense guiding the implementation of pilot management of salary for the Parent Company - Military Post and Telecommunications Group."

Article 1. The Parent Company - Military Post and Telecommunications Group hereinafter referred to as the Military Post and Telecommunications Group.

Amending and supplementing some articles of Circular Joint No. 26/2011/TTLT-BLDTBXH-BQP

1. Amending Article 3 on salary classification and allowances as follows:

Article 2. "The General Director, Deputy General Director, Chief Accountant, Auditor, and employees of the Military Post and Telecommunications Group shall be classified and given allowances as follows:

1. The General Director, Deputy General Director, Chief Accountant, Auditor (hereinafter collectively referred to as managerial staff), employees who are officers and professional military personnel shall have their salaries and allowances classified according to the provisions of Government Decree No. 204/2004/NĐ-CP dated December 14, 2004 regarding the salary system for civil servants, public officials, and military personnel (hereinafter referred to as Decree No. 204/2004/NĐ-CP) and related guiding documents.

2. National defense workers, employees working under labor contracts, shall have their salaries and allowances classified according to the wage scale, wage list, and wage allowances established by the Military Post and Telecommunications Group in accordance with the provisions of Government Decree No. 49/2013/NĐ-CP dated May 14, 2013 detailing certain provisions of the Labor Code concerning wages (hereinafter referred to as Decree No. 49/2013/NĐ-CP) and related guiding documents."

2. Amending Clause 1 of Article 4 on unit price of salary as follows:

"1. The unit price of salary for the Military Post and Telecommunications Group is set at a stable level for two years 2014 and 2015 at 200 dong per 1,000 dong of total revenue minus total costs excluding salary.

The determination of total revenue and total costs excluding salary shall be carried out in accordance with current laws on corporate income tax."

3. Amending Point c of Clause 2 of Article 4 on the increase rate (%) of average salary being lower than the increase rate (%) of average labor productivity as follows:

"c. The increase rate (%) of average salary must be lower than the increase rate (%) of average labor productivity.

Average salary, average labor productivity, the increase rate of average salary, and the increase rate of average labor productivity shall be determined in the Appendix attached hereto."

4. Amending Clause 2 of Article 5 on determining the annual salary fund as follows:

"The annual salary fund is determined based on the actual total revenue minus total costs excluding salary, labor productivity, and profit of the Military Post and Telecommunications Group as follows:

a) The annual salary fund according to the unit price of salary is calculated using the following formula:

đgôd

: Annual salary fund according to the unit price of salary.

V_thđg = V_{: Unit price of salary set at a stable level as stipulated in Clause 1 of Article 4 of this Circular.} x C_ENVIRONMENT (2)

Where:

V_thđg: Actual total revenue minus total costs excluding salary.

V_{: Unit price of salary set at a stable level as stipulated in Clause 1 of Article 4 of this Circular.}b) Adjusting the annual salary fund according to profit and labor productivity:

C_ENVIRONMENT- Case 1: When actual profit and average labor productivity are equal to or higher than planned profit and average labor productivity, the annual salary fund according to the unit price of salary is calculated using formula (2).

- Case 2: When actual profit and average labor productivity are lower than planned profit and average labor productivity, the annual salary fund according to the unit price of salary is adjusted using the following formula:

: Annual salary fund according to the unit price of salary after adjustment.

: Annual salary fund according to the unit price of salary calculated using formula (2).

V_thđgđc = V_thđg - V (VND/year): is the total investment capital allocated annually for the usable area of social housing for rent, ensuring the preservation of capital, calculated according to the following formula:_{session number} - V (VND/year): is the total investment capital allocated annually for the usable area of social housing for rent, ensuring the preservation of capital, calculated according to the following formula:_w (3)

Where:

+ V_thđgđc: Part of the salary fund adjusted according to profit, calculated in one of the following two ways:

+ V_thđgMethod 1: Adjusting the salary fund according to an absolute amount corresponding to the reduction in profit, calculated using the following formula:

+ V_{session number}: Part of the salary fund adjusted according to profit.

Method 1: Adjusting the salary fund by an absolute amount corresponding to the decrease in profit, calculated according to the formula:

V_{session number} x T_kh - P_ENVIRONMENT (4)

Where:

V_{session number}: The portion of the salary fund adjusted based on profit.

"5. The pre-tax weighted average cost of capital i (%) is determined according to the formula below:_kh: Planned profit margin corresponding to the unit price of wages as stipulated in Clause 1, Article 4 of this Circular.

"5. The pre-tax weighted average cost of capital i (%) is determined according to the formula below:_ENVIRONMENT: Actual profit.

Method 2: Adjusting the wage fund based on relative levels, calculated according to the formula:

V_{session number} = [(V_thđg - V (VND/year): is the total investment capital allocated annually for the usable area of social housing for rent, ensuring the preservation of capital, calculated according to the following formula:_cd) x (1 - "5. The pre-tax weighted average cost of capital i (%) is determined according to the formula below:_ENVIRONMENT"5. The pre-tax weighted average cost of capital i (%) is determined according to the formula below:_kh)] x 0.5 (5)

Where:

V_{session number}: The portion of the salary fund adjusted based on profit.

V_thđgMethod 1: Adjusting the salary fund according to an absolute amount corresponding to the reduction in profit, calculated using the following formula:

V_cđ: The wage fund under the regime is calculated according to the formula: V_cđ = V_cđsq + V_cđlđ (6)

Where:

V_cđsq: The wage fund under the regime for managerial officials and military personnel is determined by the actual number of managerial officials and military personnel in use, multiplied by the average salary coefficient and allowances as prescribed in Decree No. 204/2004/NĐ-CP and the basic salary level set by the Government.

V_cđlđ: The wage fund under the regime for defense workers and employees working under labor contracts is determined by the actual number of defense workers and employees working under labor contracts in use, multiplied by the average contractual salary.

"5. The pre-tax weighted average cost of capital i (%) is determined according to the formula below:_kh: Planned profit margin corresponding to the unit price of wages as stipulated in Clause 1, Article 4 of this Circular.

"5. The pre-tax weighted average cost of capital i (%) is determined according to the formula below:_ENVIRONMENT: Actual profit.

+ V_w: The portion of the wage fund adjusted based on labor productivity (applicable in cases where, after adjusting the wage fund according to profit using formula (4) or formula (5), the actual average labor productivity is lower than the planned average labor productivity) is calculated according to the following formula:

V_w = (V_thđg - V (VND/year): is the total investment capital allocated annually for the usable area of social housing for rent, ensuring the preservation of capital, calculated according to the following formula:_{session number}) x (1 - - Electronic Information Portal_ENVIRONMENT- Electronic Information Portal_kh) (7)

Where:

V_thđgMethod 1: Adjusting the salary fund according to an absolute amount corresponding to the reduction in profit, calculated using the following formula:

V_{session number}: The portion of the wage fund adjusted based on profit, calculated according to formula (4) or formula (5).

- Electronic Information Portal_ENVIRONMENT, W_kh: The actual average labor productivity and the planned average labor productivity are determined according to the Appendix attached to this Circular.

- Case 3: When the actual average labor productivity is lower than the planned average labor productivity and the actual profit is equal to or higher than the planned profit, the wage fund implemented according to the unit price of wages shall be adjusted according to the following formula:

V_thđgđc = V_thđg - V (VND/year): is the total investment capital allocated annually for the usable area of social housing for rent, ensuring the preservation of capital, calculated according to the following formula:_w (8)

Where:

+ V_thđgđc: Part of the salary fund adjusted according to profit, calculated in one of the following two ways:

+ V_thđg: Actual salary fund.

+ V_w: The portion of the wage fund adjusted based on labor productivity, calculated according to the formula:

V_w = V_thđg x (1 - - Electronic Information Portal_ENVIRONMENT- Electronic Information Portal_kh) (9)

Where:

V_thđgMethod 1: Adjusting the salary fund according to an absolute amount corresponding to the reduction in profit, calculated using the following formula:

- Electronic Information Portal_ENVIRONMENT, W_kh: The actual average labor productivity and the planned average labor productivity are determined according to the Appendix attached to this Circular.

- Case 4: When the actual profit is lower than the planned profit and the actual average labor productivity is equal to or higher than the planned average labor productivity, the wage fund implemented according to the unit price of wages must be adjusted according to the following formula:

V_thđgđc = V_thđg - V (VND/year): is the total investment capital allocated annually for the usable area of social housing for rent, ensuring the preservation of capital, calculated according to the following formula:_{session number} (10)

Where:

+ V_thđgđc: Part of the salary fund adjusted according to profit, calculated in one of the following two ways:

+ V_thđg: Actual salary fund.

+ V_{session number}: The portion of the wage fund adjusted based on profit, calculated according to formula (4) or formula (5).

The wage fund implemented after adjustment according to profit and labor productivity as prescribed in Point b, Clause 2 of this Article shall not be lower than the wage fund under the regime. In case, when determining the implemented wage fund, for employees with a wage regime level (calculated based on the salary coefficient and allowance assigned according to Decree No. 204/2004/NĐ-CP multiplied by the basic salary level or the average contractual salary) lower than the minimum regional wage level set by the Government, the difference between the wage regime level of these individuals and the minimum regional wage level shall be added to the implemented wage fund.

- Case 5: When there is no profit or loss, the implemented wage fund shall be determined according to the wage fund under the regime as stipulated in formula (6) of Point b, Clause 2 of this Article."

5. Amend Point c and supplement Point d of Clause 1, Article 8 regarding the responsibilities of the Vietnam Military Telecommunications Group as follows:

"c) Implement the construction and issuance of salary scales, wage tables, and allowances according to the principles of constructing salary scales and wage tables prescribed in Decree No. 49/2013/NĐ-CP and guiding documents for implementation within the Vietnam Military Telecommunications Group.

d) Conduct a summary and report on the results of piloting wage management for the Vietnam Military Telecommunications Group during the period 2011-2015 as prescribed in Clause 4, Article 6 of Decree No. 65/2011/NĐ-CP dated July 29, 2011 of the Government, which has been amended and supplemented in Clause 5, Article 1 of Decree No. 74/2014/NĐ-CP dated July 23, 2014 of the Government."

6. Amend and supplement Clause 2, Article 8 regarding the responsibilities of the Ministry of National Defense as follows:

"a) Provide comments on the labor plan, salary scales, wage tables, allowances, and wage payment regulations for the Vietnam Military Telecommunications Group to implement.

b) Solicit opinions from the Ministry of Labor, Invalids, and Social Affairs on salary scales, wage tables, and allowances before providing comments to the Vietnam Military Telecommunications Group.

c) Take the lead and coordinate with the Ministry of Labor, Invalids, and Social Affairs, and the Ministry of Finance to review and adjust the unit price of wages prescribed in Clause 1, Article 4 of this Circular when the State changes its wage policy; monitor and supervise the implementation of the pilot wage management for the Vietnam Military Telecommunications Group.

d) Conduct a summary and evaluation of the results of piloting wage management for the Vietnam Military Telecommunications Group during the period 2011-2015 according to the provisions of the law in the third quarter of 2015."

7. Amend Point d of Clause 3, Article 8 regarding the responsibilities of the Ministry of Labor, Invalids, and Social Affairs as follows:

"d) Summarize and evaluate the implementation of the pilot wage management for the Vietnam Military Telecommunications Group during the period 2011-2015, and report to the Prime Minister in the fourth quarter of 2015."

8. Amend Clause 2, Article 9 regarding the effective date as follows:

"2. The provisions of this Circular shall be implemented from January 1, 2014 to December 31, 2015."

Article 3. Effectiveness

1. This Circular takes effect from December 24, 2014.

2. The provisions of this Circular shall be implemented from January 1, 2014 to December 31, 2015.

During the implementation process, if there are any difficulties, please reflect them to the Ministry of Labor, Invalids, and Social Affairs, and the Ministry of National Defense for timely guidance and supplementation.

.