Directive No. 39/2005/CT-TTg on the implementation of the rights and obligations of the State owner towards state-owned enterprises as stipulated in Decree No. 132/2005/NĐ-CP dated October 20, 2005 of the Government.

DIRECTIVE
Regarding the implementation of the rights and obligations of the owner of the house to state-owned companies as stipulated in Decree No. 132/2005/NĐ-CP
1. The contents and levels of expenditure from the state budget to support the implementation of initiatives as stipulated in Chapter II of this Circular are maximum levels. Based on the ability to balance resources, the Ministers of Ministries, Heads of central agencies, Provincial People's Councils, and centrally governed cities shall decide on specific contents and levels of expenditure for initiative activities that ensure appropriateness. dated October 20, 2005 of the Government 
To institutionalize Resolution No. 3 of the Ninth Plenum and guide the implementation of the Law on State Enterprises 2003, on October 20, 2005, the Government issued Decree No. 132/2005/NĐ-CP on the implementation of the rights and obligations of the state owner towards state-owned companies. This is a matter of utmost importance in enhancing the autonomy, responsibility, competitiveness, and production and business efficiency of enterprises; to implement effectively, the Prime Minister issues the following directive:

1. Ministries, ministerial-level agencies, government agencies, People's Committees of provinces and centrally governed cities, Boards of Directors of state-owned holding companies shall immediately carry out the following tasks:

a) Fully disseminate the contents of Decree No. 132/2005/NĐ-CP of the Government and guiding documents to specialized agencies, officials, and state-owned companies;

b) Establish regulations and organize the implementation of the rights and obligations of the state owner in accordance with the law, ensuring the autonomy and responsibility of state-owned companies in their production and business activities; do not intervene illegally in the operations of state-owned companies, in the work of the Board of Directors or the General Director of state-owned companies without a Board of Directors;

c) Direct state-owned holding companies, independent state-owned companies, and company members represented by themselves to review, amend, and supplement the Charter of organization and operation of the holding company and the company to be consistent with current regulations, submit for approval by competent authorities;

d) Transfer the right to represent the state owner of the state-owned share capital at independent state-owned companies undergoing shareholding or converting into a single-member limited liability company according to current regulations and guidance from the Ministry of Finance;

đ) Continue to review and restructure state-owned companies within their jurisdiction according to the direction and relevant regulations of the Government and the Prime Minister; transfer state-owned companies to operate under the Enterprise Law;

e) Continue to complete the development strategy, scale expansion, industry, and business sector of enterprises established by themselves in line with the region's and industry's development strategy approved by the Prime Minister; innovate management methods; plan and appoint key leaders of state-owned companies. Establish regulations on organizing supervision of state-owned companies in accordance with the law; annually evaluate the operational effectiveness of state-owned companies, the management and operation effectiveness of the Board of Directors and the General Director; periodically assess the financial situation of state-owned companies.

2. Review current regulations on the implementation of the rights and obligations of the state owner; on the organization of management, mechanisms, and policies for state-owned companies to issue new or amend and supplement them to be consistent with the provisions of the Law on State Enterprises, Decree No. 132/2005/NĐ-CP, and other related documents. Specifically as follows:

a) The Ministry of Planning and Investment:

- By January 2006, submit to the Prime Minister a draft list of particularly important state-owned companies directly implementing some rights and obligations of the state owner by the Prime Minister;

- Guide ministries, sectors, provinces, centrally governed cities, and Boards of Directors to establish regulations on the implementation of the rights and obligations of the state owner towards state-owned companies;

- In the first quarter of 2006, review to propose the Prime Minister to amend and supplement the Supervision and Evaluation Regulation of State Enterprises issued together with Decision No. 271/2003/QĐ-TTg dated December 31, 2003 of the Prime Minister;

b) The Ministry of Finance:

- Guide ministries, sectors, provinces, and centrally governed cities to establish regulations on organizing supervision of state-owned companies.

c) The Ministry of Labor, Invalids, and Social Affairs:

- Guide methods for establishing salary regulations; methods for establishing standards for enterprise management officials, professional standards, technical grade standards so that state-owned companies can establish and promulgate standards as a basis for grading and paying salaries;

- Study and submit to the Prime Minister regulations on salary and allowance systems for economic groups.

d) The Ministry of Home Affairs:

In the first quarter of 2006, review to amend and supplement current regulations on procedures and formalities for appointment, dismissal, removal, commendation, and disciplinary action against Chairmen and members of the Board of Directors, General Directors, Directors, Deputy General Directors, and Deputy Directors.

3. Ministries, ministerial-level agencies, government agencies, People's Committees of provinces and centrally governed cities, Boards of Directors of state-owned holding companies are responsible for implementing this Directive.

The Ministry of Planning and Investment is responsible for monitoring and reporting to the Prime Minister on the implementation of this Directive./.

The Ministry of Planning and Investment shall be responsible for monitoring and reporting to the Prime Minister on the implementation of this Directive./.