Decree No. 42/2023/ND-CP Adjusts Pensions, Social Insurance Allowances, and Monthly Allowances.

DECREE

Adjustment of Pensions, Social Insurance Benefits, and Monthly Allowances

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Pursuant to the Government Organization Law dated June 19, 2015; the Law Amending and Supplementing One Article of the Government Organization Law and the Local Administration Organization Law dated November 22, 2019; number Pursuant to Resolution No. 69/2022/QH15 dated November 11, 2022 of the National Assembly on the State Budget for 2023;

Pursuant to Resolution No. 104/2023/QH15 dated November 10, 2023 of the National Assembly on the state budget estimate for 2024;

Pursuant to the Labor Safety Law dated June 25, 2015;

Article 1. Scope of Application

Decree No. 07/2021/NĐ-CP

The Government issues this Decree to adjust pensions, social insurance benefits, and monthly allowances.

PART I
GENERAL PROVISIONS

1. This Decree adjusts the pension levels, social insurance benefits, and monthly allowances for individuals receiving pensions, social insurance benefits, and monthly allowances prior to July 1, 2023, including:

a) Officials, civil servants, workers, employees, and laborers (including those with voluntary social insurance participation periods, retirees from the Vinh Anh Farmers' Social Insurance Fund transferred according to Decision No. 41/2009/QD-TTg dated March 16, 2009 of the Prime Minister regarding the transfer of Vinh Anh Farmers' Social Insurance to voluntary social insurance); military personnel, public security officers, and clerical staff currently receiving monthly pensions.

b) Village, ward, and town officials as stipulated in Decree No. 92/2009/NĐ-CP dated October 22, 2009 of the Government on the titles, number, and certain policies and benefits for village, ward, and town officials and non-professional staff at the commune level, Decree No. 34/2019/NĐ-CP dated April 24, 2019 of the Government amending and supplementing certain provisions on village, ward, and town officials and non-professional staff at the commune level, Decree No. 121/2003/NĐ-CP dated October 21, 2003 of the Government on policies and benefits for village, ward, and town officials, and Decree No. 09/1998/NĐ-CP dated January 23, 1998 of the Government amending and supplementing Decree No. 50/CP dated July 26, 1995 of the Government on living expenses for village, ward, and town officials currently receiving pensions and monthly allowances.

c) Individuals currently receiving monthly disability allowances as prescribed by law; individuals currently receiving monthly allowances under Decision No. 91/2000/QĐ-TTg dated August 4, 2000 of the Prime Minister regarding assistance for those who have reached retirement age at the time of ceasing to receive monthly disability allowances, Decision No. 613/QĐ-TTg dated May 6, 2010 of the Prime Minister regarding monthly allowances for those with at least 15 but less than 20 years of actual work experience who have ceased to receive monthly disability allowances; rubber plantation workers currently receiving monthly allowances under Decision No. 206-CP dated May 30, 1979 of the Council of Ministers on policies for newly liberated workers engaged in heavy and health-damaging jobs who are now elderly and unable to continue working.

d) Village, ward, and town officials currently receiving monthly allowances under Decision No. 130-CP dated June 20, 1975 of the Council of Ministers supplementing policies and benefits for village officials and Decision No. 111-HĐBT dated October 13, 1981 of the Council of Ministers on amending and supplementing certain policies and benefits for village, ward, and town officials.

đ) Military personnel currently receiving monthly allowances under Decision No. 142/2008/QĐ-TTg dated October 27, 2008 of the Prime Minister on implementing policies for military personnel participating in the resistance against the United States to save the country with less than 20 years of service in the military who have been discharged and returned to their home regions (amended and supplemented by Decision No. 38/2010/QĐ-TTg dated May 6, 2010 of the Prime Minister).

e) Public security officers currently receiving monthly allowances under Decision No. 53/2010/QĐ-TTg dated August 20, 2010 of the Prime Minister on policies for public security officers participating in the resistance against the United States with less than 20 years of service in the public security force who have retired and returned to their home regions.

g) Military personnel, public security officers, and clerical staff receiving allowances equivalent to military personnel and public security officers currently receiving monthly allowances under Decision No. 62/2011/QĐ-TTg dated November 9, 2011 of the Prime Minister on policies and benefits for individuals participating in wars to protect the country and international missions in Cambodia and assisting Laos after April 30, 1975 who have been discharged and retired.

2. The subjects specified in points a, b, c, d, đ, e, and g of Clause 1 of this Article who retired and received pensions, social insurance benefits, and monthly allowances before January 1, 1995, after adjustment according to Clause 1 of Article 2 of this Decree, shall have their pensions, social insurance benefits, and monthly allowances below VND 3,000,000 per month.

h) Persons currently receiving monthly allowances for work-related accidents and occupational diseases.

i) Persons currently receiving monthly allowances for survivors before January 1, 1995.

1. As of July 1, 2023, adjustments shall be made as follows:

Article 2. Time and Level of Adjustment

a) Increase by 12.5% on the pension, social insurance benefit, and monthly allowance amount for June 2023 for the subjects specified in Clause 1 of Article 1 of this Decree who have already been adjusted according to Decree No. 108/2021/NĐ-CP dated December 7, 2021 of the Government on adjusting pensions, social insurance benefits, and monthly allowances.

b) Increase by 20.8% on the pension, social insurance benefit, and monthly allowance amount for June 2023 for the subjects specified in Clause 1 of Article 1 of this Decree who have not yet been adjusted according to Decree No. 108/2021/NĐ-CP dated December 7, 2021 of the Government on adjusting pensions, social insurance benefits, and monthly allowances.

2. As of July 1, 2023, individuals currently receiving pensions, social insurance benefits, and monthly allowances as stipulated in Clause 2 of Article 1 of this Decree, after adjustment according to Clause 1 of this Article, if their benefit is lower than VND 3,000,000 per month, shall be further adjusted as follows: Increase by VND 300,000 per person per month for those whose benefit is below VND 2,700,000 per person per month; increase to VND 3,000,000 per person per month for those whose benefit is from VND 2,700,000 per person per month up to but not reaching VND 3,000,000 per person per month.

3. The pension, social insurance benefit, and monthly allowance amounts after adjustment according to this Article shall serve as the basis for subsequent adjustments to pensions, social insurance benefits, and monthly allowances.

3. The pension amount, social insurance allowance, and monthly subsidy after adjustment in accordance with the provisions of this Article shall serve as the basis for calculating subsequent adjustments to the pension, social insurance allowance, and monthly subsidy.

Article 3. Source of Funding

The source of funding for adjusting pensions, social insurance benefits, and monthly allowances applicable to the subjects specified in Article 1 of this Decree is as follows:

1. The State budget shall ensure for subjects entitled to social insurance benefits before January 1, 1995; those receiving monthly allowances pursuant to Decision No. 91/2000/QĐ-TTg dated August 4, 2000 of the Prime Minister on providing allowances to individuals who have reached retirement age at the time their monthly disability allowance ceased, Decision No. 613/QĐ-TTg dated May 6, 2010 of the Prime Minister on providing monthly allowances to individuals with from fifteen to less than twenty years of actual service who have completed their entitlement to monthly disability allowances, and the subjects specified in Points d, e, f, and h Clause 1 Article 1 of this Decree; those receiving pensions pursuant to Decree No. 159/2006/NĐ-CP dated December 28, 2006 of the Government on implementing pension regimes for military personnel directly participating in the resistance war against America to save the country from April 30, 1975 onwards, having served twenty years or more in the military and having been discharged or retired, Decree No. 11/2011/NĐ-CP dated January 30, 2011 of the Government amending and supplementing certain provisions of Decree No. 159/2006/NĐ-CP dated December 28, 2006 of the Government on implementing pension regimes for military personnel directly participating in the resistance war against America to save the country from April 30, 1975 onwards, having served twenty years or more in the military and having been discharged or retired, and Decree No. 23/2012/NĐ-CP dated April 3, 2012 of the Government stipulating certain regimes for subjects participating in wars to protect the country and international missions in Cambodia and assisting Laos after April 30, 1975, having served twenty years or more in the military or police and having been discharged or retired.

2. The Social Insurance Fund shall ensure for subjects entitled to social insurance benefits from January 1, 1995 onwards, including those currently receiving pensions or monthly allowances pursuant to: Decree No. 92/2009/NĐ-CP dated October 22, 2009 of the Government on positions, number, and certain regimes and policies for cadres and civil servants at commune, ward, township levels and non-professional staff at commune level, Decree No. 34/2019/NĐ-CP dated April 24, 2019 of the Government amending and supplementing certain provisions on cadres and civil servants at commune level and non-professional staff at commune, village, and neighborhood levels, Decree No. 121/2003/NĐ-CP dated October 21, 2003 of the Government on regimes and policies for cadres and civil servants at commune, ward, township levels, and Decree No. 09/1998/NĐ-CP dated January 23, 1998 of the Government amending and supplementing Decree No. 50/CP dated July 26, 1995 of the Government on living expenses regimes for commune, ward, township cadres.

Article 4. Organization of Implementation

1. The Minister of Labor, Invalids, and Social Affairs shall specify in detail the adjustment for the subjects specified in Points a, b, c, h, and i Clause 1 Article 1 of this Decree.

2. The Minister of Interior shall specify in detail the adjustment for the subjects specified in Point d of Clause 1, Article 1 of this Decree.

3. The Minister of National Defense shall specify in detail the adjustment for the subject specified in Point e Clause 1 Article 1 of this Decree and the subject under the responsibility to resolve specified in Point g Clause 1 Article 1 of this Decree.

4. The Minister of Public Security shall specify in detail the adjustment for the subject specified in Point f Clause 1 Article 1 of this Decree and the subject under the responsibility to resolve specified in Point g Clause 1 Article 1 of this Decree.

5. The Ministry of Finance shall be responsible for ensuring funding for the adjustment of pensions, social insurance benefits, and monthly allowances for the subjects covered by the state budget.

6. The Vietnam Social Security shall be responsible for implementing adjustments, paying pensions, social insurance allowances, and monthly allowances for the subjects specified in Points a, b, c, h, and i Clause 1 Article 1 of this Decree.

7. Provincial People's Committees and municipal people's committees directly under the central government shall be responsible for organizing the implementation of adjustments and paying monthly allowances for the subjects specified in Points d, e, f, and g Clause 1 Article 1 of this Decree.

Chapter II
IMPLEMENTING PROVISIONS

Article 5. Effective Date

1. This Decree takes effect from August 14, 2023. The provisions of this Decree shall be implemented from July 1, 2023.

2. Decree No. 108/2021/NĐ-CP dated December 7, 2021 of the Government adjusting pensions, social insurance allowances, and monthly allowances ceases to be effective from the date this Decree takes effect.

Article 6. Responsibility for Implementation

Ministers, heads of ministerial-level agencies, heads of agencies under the Government, and Chairpersons of provincial and municipal people's committees directly under the central government are responsible for implementing this Decree.