Circular No. 32/2016/TT-BLDTBXH guiding the management of labor, wages, remuneration, and bonuses for the Vietnam Deposit Insurance Corporation

CIRCULAR

GUIDELINES FOR THE MANAGEMENT OF LABOUR, SALARIES, FEES, AND BONUSES FOR VIETNAM DEPOSIT INSURANCE

Decree No. 106/2012/ND-CP dated December 20, 2012 of the Government stipulating functions, tasks, powers, and organizational structureThe Minister of Labor, Invalids and Social Affairs issues this Circular stipulating the construction, management, update, exploitation and use of social assistance and poverty reduction databases.

Pursuant to Decree No. 68/2013/ND-CP dated June 28, 2013 of the Government detailing and guiding the implementation of the Law on Deposit Insurancedeposit insurance;

Pursuant to Decree No. 51/2016/ND-CP dated June 13, 2016 of the Government stipulating the management of labour, salaries, and bonuses for employees working in a joint-stock company with sole state capital held at 100%; articles;

Decree No. 52/2016/ND-CP dated June 13, 2016 of the Government stipulating salaries, fees, and bonuses for managersof a joint-stock company with sole state capital held at 100% capital The Minister of Labour, Invalids and Social Affairs issues this Circular guiding the managementn salary;

At the proposal of the Director of the Department of Labor and Wages;

of labour, salaries, fees, bonuses for Vietnam Deposit Insurance. 2. Managers include: Chairman and members of the Board of Directors, General Director, Director, Deputy General Director, Deputy Director, Chief Accountant, Inspector (excluding the General Director, Director, Deputy General Director, Deputy Director, or Chief Accountant working under a labour contract).

Section 1. GENERAL PROVISIONS

Article 1. Scope of Regulation

This Circular guides the management of labor, wages, remuneration, and bonuses for employees and managers of the Vietnam Deposit Insurance Corporation.

Article 2. Applicability

1. Workers working under labor contracts as prescribed by the Labor Code.

MANAGEMENT OF LABOUR, SALARIES, AND BONUSES FOR EMPLOYEES

3. Agencies, organizations, and individuals related to the management of labor, wages, remuneration, and bonuses as stipulated in this Circular.

Section 2. SLARIES AND BONUSES FOR EMPLOYEES 1. Vietnam Deposit Insurance implements the management of labour, determines the average planned salary level, the planned salary fund, advance payment of salaries, unit price of salaries, determines the actual salary fund, distributes salaries, the bonus fund, and distributes bonuses for employees according to the provisions of Section 2; Article 9, Article 10, Article 13 Section 3 and Section 4 of Circular No. 26/2016/TT-BLDTBXH dated September 1, 2016 of the Ministry of Labour, Invalids and Social Affairs guiding the implementation of the management of labour, salaries, and bonuses for employees working in a joint-stock company with sole state capital held at 100% capital (hereinafter referred to as Circular No. 26/2016/TT-BLDTBXH).

Article 3. Management of labor, determination of planned wage fund, advance payment of wage fund, determination of actual wage fund, distribution of wages, and bonuses

2. When determining the average planned salary level, the planned salary fund, and the actual salary fund according to Clause 1 of this Article, Vietnam Deposit Insurance shall determine the average labour productivity index and profit as follows:

Total revenue for calculating labour productivity and profit includes: total income from investment activities of temporarily idle funds annually before being allocated to income; income from deposit insurance business operations and other income determined according to financial management regulations for Vietnam Deposit Insurance.

a) The average labor productivity index is calculated based on total revenue minus total costs excluding wages, as guided in the annex attached to Circular No. 26/2016/TT-BLDTBXH.

b) The profit index is replaced by the total revenue minus total costs.

b) The State has a decision to intervene directly affecting the total revenue minus total expenses of Vietnam Deposit Insurance: adjusting the deposit insurance premium rate framework, adjusting the maximum payout limit for deposit insurance; issuing additional capital; adjusting the deposit interest rate of Vietnam Deposit Insurance at the State Bank; adjusting the deposit insurance premium rate for participating organizations; adjusting the government bond interest rate, central bank bills interest rate, and not issuing government bonds or central bank bills; designating support levels for participating organizations that have lost their ability to pay, participate in performing political tasks, ensuring social security, balancing supply and demand in the economy, restructuring, and handling bad debts of participating organizations.

Article 4. Exclusion of Objective Factors in Determining Employee Salaries

1. Objective factors affecting labor productivity and net revenue minus total expenses shall be excluded when determining employee salaries, including:

a) Objective factors stipulated in Clause 1 of Article 11 of Circular No. 26/2016/TT-BLDTBXH.

2. When determining the average salary level and the planned salary fund for employees, if there are objective factors affecting increases or decreases in labour productivity and total revenue minus total expenses, Vietnam Deposit Insurance must quantify these factors with specific data to reduce the portion of objective factors increasing labour productivity and total revenue minus total expenses, or add the portion of objective factors decreasing labour productivity and total revenue minus total expenses.

The Vietnam Deposit Insurance Corporation must pay deposit insurance money to depositors at participating organizations, thereby reducing investment capital (due to a decrease in the business reserve fund).

3. Vietnam Deposit Insurance must reassess the implementation of objective factors affecting labour productivity and total revenue minus total expenses compared to the plan to exclude them when determining the actual salary fund for employees.

3. The Vietnam Deposit Insurance Corporation must reassess the implementation of objective factors affecting labor productivity, net revenue from total income minus total expenses compared to the plan, to exclude them when determining the actual wage fund for employees.

Section 3. MANAGEMENT OF WAGES, FEES, AND BONUSES FOR MANAGERS

Article 5. Salary Adjustment and Promotion for Managers

1. The adjustment of salary classification, promotion, and salary reclassification when the company's category changes for the managers of the Vietnam Deposit Insurance Corporation shall be carried out in accordance with the provisions set forth in Section 2 of Circular No. 27/2016/TT-BLDTBXH dated September 1, 2016, issued by the Ministry of Labor, Invalids and Social Affairs to guide the implementation of salary, remuneration, and bonus systems for managers of state-owned joint stock companies holding 100% capital contribution (hereinafter referred to as Circular No. 27/2016/TT-BLDTBXH).

2. When determining salaries according to Clause 1 of this Article, the position of the dedicated Chairman of the Board of Directors of the Vietnam Deposit Insurance Corporation shall be reclassified according to the position of the dedicated Chairman of the Board of Members or the dedicated Chairman of the company; the position of the dedicated member of the Board of Directors of the Vietnam Deposit Insurance Corporation shall be reclassified according to the position of the dedicated member of the Board of Members.

Article 6. Determination of Salary Fund, Remuneration, Bonuses, Advance Payments, and Payment of Salaries, Remunerations, and Bonuses for Managers

1. The determination of the salary fund, planned remuneration, average planned salary level; advance payment of salaries and remuneration; determination of the actual salary and remuneration fund, bonus fund, and payment of salaries, remunerations, and bonuses for the managers of the Vietnam Deposit Insurance Corporation shall be carried out in accordance with the provisions set forth in Articles 3, 9, 12, 14, 15, 16, 17, 18, 19, and Clauses 1, 3, 4, 5, 6 of Article 10 of Circular No. 27/2016/TT-BLDTBXH.

2. In cases where the Vietnam Deposit Insurance Corporation preserves and develops state capital, the average labor productivity does not decrease, and the total revenue minus total planned expenses exceeds the actual performance of the previous year, the average planned salary level shall be determined based on the basic salary and the additional adjustment factor linked to the scale of total revenue minus total expenses (referred to as H) as follows:

a) If the total revenue minus total expenses in the planned year is less than 200 billion VND, then the maximum H equals 0.5 times the basic salary.

b) If the total revenue minus total expenses in the planned year is from 200 billion VND to less than 500 billion VND, then the maximum H equals 0.7 times the basic salary.

c) If the total revenue minus total expenses in the planned year is 500 billion VND or more, then the maximum H equals 1.0 times the basic salary.

3. In cases where the Vietnam Deposit Insurance Corporation preserves and develops state capital, the total revenue minus total planned expenses exceeds the actual performance of the previous year but the average labor productivity is lower than the actual performance of the previous year, after determining the average planned salary level according to Clause 2 of this Article, the salary must be reduced according to the principle that for every 1% decrease in planned average labor productivity compared to the actual performance of the previous year, there will be a 0.5% reduction in the average planned salary level.

4. In cases where the Vietnam Deposit Insurance Corporation preserves and develops state capital, the total revenue minus total planned expenses is equal to or higher than the actual performance of the previous year, but the average planned salary level (after being determined according to Clauses 1 and 2 of this Article) is lower than the actual performance of the previous year, the average planned salary level shall be calculated based on the actual average salary level of the previous year.

5. When determining the salary fund, planned remuneration, average planned salary level; advance payment of salaries and remuneration; determination of the actual salary and remuneration fund, bonus fund, and payment of salaries, remuneration, and bonuses for the managers of the Vietnam Deposit Insurance Corporation according to the provisions of Clauses 1, 2, 3, and 4 of this Article, the Vietnam Deposit Insurance Corporation must comply with certain regulations as follows:

a) Average labor productivity and profit indicators serving as the basis for determining salary, remuneration, and bonus funds, and average salary levels shall be calculated according to Clause 2 of this Article.

b) The exclusion of external factors affecting labor productivity and total revenue minus total expenses shall be carried out in accordance with the provisions set forth in Article 4 of this Circular.

Section 4. ORGANIZATION IMPLEMENTATION AND PROVISIONS FOR ENFORCEMENT 1. The Board of Directors of the Vietnam Deposit Insurance Corporation shall be responsible for performing tasks as stipulated for the Board of Members or the Chairman of the Company under Article 18 of Circular No. 26/2016/TT-BLDTBXH and Article 20 of Circular No. 27/2016/TT-BLDTBXH. When submitting salary and bonus reports to the representative body of the owner, they must also submit them to the Ministry of Labor, Invalids and Social Affairs for general monitoring and supervision.

Article 7. Implementation Organization

b) Coordinate with the State Bank of Vietnam to monitor salaries, remuneration, and bonuses for employees and managers of the Vietnam Deposit Insurance Corporation; inspect and audit the implementation of salary, remuneration, and bonus systems at the Vietnam Deposit Insurance Corporation.

2. The supervisor of the Vietnam Deposit Insurance Corporation is responsible for performing the tasks of the supervisor as specified in Article 19 of Circular No. 26/2016/TT-BLDTBXH and Article 21 of Circular No. 27/2016/TT-BLDTBXH.

3. The State Bank of Vietnam is responsible for performing the tasks of the representative body of the owner as specified in Article 20 of Circular No. 26/2016/TT-BLDTBXH and Article 22 of Circular No. 27/2016/TT-BLDTBXH.

4. The Ministry of Labor, Invalids, and Social Affairs is responsible for:

a) Performing tasks related to the rights and obligations of the owner towards the Vietnam Deposit Insurance Corporation as assigned by the Government.

b) Coordinate with the State Bank of Vietnam to monitor wages, fees, and bonuses for employees and managers of the Vietnam Deposit Insurance Corporation; inspect and examine the implementation of the wage, fee, and bonus system of the Vietnam Deposit Insurance Corporation.

Article 8. Effectiveness 1. This Circular takes effect from February 15, 2026; Circular No. 24/2013/TT-BKHCN dated September 30, 2013 of the Minister of Science and Technology on activities related to calibration, verification, testing of measuring instruments, and measurement standards shall cease to be effective from the date this Circular takes effect.

1. This Circular takes effect from December 10, 2016. The systems prescribed in this Circular shall be applied from January 1, 2016.

2. The Vietnam Deposit Insurance Corporation shall apply the midday meal allowance for employees and managers as prescribed in Clause 4 of Article 22 of Circular No. 26/2016/TT-BLDTBXH and Clause 4 of Article 25 of Circular No. 27/2016/TT-BLDTBXH.

During implementation, if there are any difficulties, the agencies, units, and Deposit Insurance Corporation are requested to report to the Ministry of Labor - Invalids and Social Affairs for timely supplementary guidance./.