Decree No. 44/2025/NĐ-CP on Labor Management, Wages, Fees, and Bonuses in State-Owned Enterprises

 DECREE

LABOR MANAGEMENT, WAGES, COMPENSATION, AND BONUSES IN STATE ENTERPRISES
Law on Government Organization dated June 19, 2015;

Pursuant toLaw Amending and Supplementing Certain Provisions of the Law on Government Organization and the Law on Local Administration dated November 22, 2019;Labor Code dated November 20, 2019;

Pursuant toEnterprise Law dated June 17, 2020;

Pursuant toLaw on Management and Use of State Capital for Investment in Production and Business at Enterprises dated November 26, 2014;

Pursuant toThe Government issues this Decree on labor management, wages, compensation, and bonuses in state enterprises.

Decree No. 07/2021/NĐ-CP

This Decree stipulates the management of labor, wages, compensation, and bonuses in state enterprises, including:

PART I
GENERAL PROVISIONS

Article 1. Scope of Regulation

1. Enterprises holding 100% of the charter capital as provided for in Clause 2, Article 88 of the Enterprise Law.

2. Enterprises holding more than 50% of the charter capital or the total number of shares with voting rights as provided for in Clause 3, Article 88 of the Enterprise Law.

The enterprises specified in Clauses 1 and 2 of this Article hereinafter shall be collectively referred to as enterprises.

1. Workers employed under labor contracts; officers, professional military personnel, defense workers, defense officials, police non-commissioned officers, police workers, and personnel engaged in confidential work.

Article 2. Applicability

2. General Directors, Directors, Deputy General Directors, Deputy Directors, Chief Accountants (hereinafter collectively referred to as the Management Board).

3. Chairpersons and members of the Board of Members or Chairpersons of companies, Chairpersons and members of the Board of Directors, excluding independent members of the Board of Directors (hereinafter collectively referred to as Board Members).

4. Heads of Supervisory Boards, Supervisors, and members of Supervisory Boards (hereinafter collectively referred to as Supervisors).

5. Representatives of state capital invested in enterprises and representative bodies of owners as prescribed by the Law on Management and Use of State Capital for Investment in Production and Business at Enterprises.

6. Agencies, organizations, and individuals related to the implementation of the provisions of this Decree.

Article 3. Principles of Labor Management, Wages, Compensation, and Bonuses

1. Labor, wages, compensation, and bonuses in enterprises are determined based on tasks, productivity, and business efficiency, consistent with the industry and nature of enterprise activities, aiming to ensure wage levels in the market; implementing wage mechanisms suitable to attract and encourage high-tech human resources in priority high-tech fields developed by the State.

2. The State manages labor, wages, and bonuses for enterprises holding 100% of the charter capital through assigning tasks and responsibilities to representative bodies and direct representatives of owners in enterprises; for enterprises holding more than 50% of the charter capital or the total number of shares with voting rights, through representative bodies of owners assigning tasks and responsibilities to representatives of state capital to participate, vote, and decide at meetings of the Board of Members, Board of Directors, or Shareholders' Meetings.

3. Based on the provisions of this Decree, labor laws, employment regulations, operational charters, and production and business strategies and plans, enterprises decide on recruitment, utilization of labor, establishment of wage scales, labor norms, determination of wage and bonus funds, and payment of wages and bonuses to workers according to positions or jobs, ensuring reasonable wage and bonus payments without limiting the maximum amount for experts, talented individuals, highly skilled professionals, and those who make significant contributions to the enterprise.

4. Separation of wages and compensation for Board Members and Supervisors from the wages of the Management Board, including:

a) For the Management Board, wages are combined with the wage fund of workers. Wages paid to the Management Board are linked to business efficiency and have a cap on the maximum benefit for General Directors and Directors compared to the average wage level of workers (except in cases where Management Board members are hired under labor contracts, their wages are paid according to the agreement in the labor contract);

b) For full-time Board Members and Supervisors, wages are determined based on basic wages and additional wages linked to the scale, complexity of management, business efficiency, and effective use of state capital; part-time Board Members and Supervisors receive compensation based on actual working time. In cases where Board Members concurrently hold Management Board positions, they receive wages according to the Management Board position and compensation according to the part-time Board Member position; Company Chairpersons concurrently serving as General Directors or Directors receive wages according to the Company Chairman position; if a Supervisory Board has only one Supervisor as prescribed in Article 103 of the Enterprise Law, the Supervisor receives wages and compensation for the position of Head of the Supervisory Board.

b) For Council members and full-time Supervisors, salaries shall be determined based on the basic salary level, additional salary linked to the scale, complexity of management, production and business efficiency, and state capital utilization effectiveness; part-time Council members and Supervisors shall receive remuneration based on actual working time. In cases where a Council member concurrently holds an Executive Board position, they shall receive a salary according to the Executive Board position and remuneration according to the part-time Council member position; the Chairman of the company who concurrently serves as the General Director or Director shall receive a salary according to the Chairman position; if the Supervisory Board has only one Supervisor as stipulated in Article 103 of the Enterprise Law, the Supervisor shall receive the salary and remuneration of the position of Chairperson of the Supervisory Board.

5. When determining the salary of employees and the Management Board, Member of the Board, Supervisor, if there are objective factors specified in Article 4 of this Decree that directly affect labor productivity, profit, return on equity or capital contribution of the owner (hereinafter referred to as profit margin), the enterprise shall calculate to exclude such factors, ensuring that salaries are linked to actual labor productivity and business performance. The labor productivity index is determined by the enterprise based on total products, production volume (including converted products, production volume) or total revenue or total revenue minus total costs excluding salaries or profits or other indicators reflecting the characteristics, nature, and labor expenses of employees. The profit indicator for determining salaries and profit margin is pre-tax profit, in cases where the enterprise is established and operates without profit objectives, the total revenue minus total costs after excluding the impact of objective factors (if any) can be used instead of the profit indicator when determining salaries; for enterprises performing market stabilization tasks according to assigned tasks by the State, costs ensuring the implementation of market stabilization tasks shall be excluded; enterprises providing public goods and services funded from the state budget as ordered or tasked by the State (hereinafter referred to as public goods and services) shall accurately include appropriate labor costs in accordance with market standards into the cost and unit price of public goods and services in accordance with the provisions of the law.

Article 4. Objective factors to be excluded when determining salaries

1. Factors due to state mechanisms and policies, including: the State adjusts mechanisms and policies; adjusts prices of products and services priced by the State; reduces production and business quotas (for products and services with production and business quotas set by the State) or reduces product and service volumes (excluding public goods and services); tax incentives; increases or decreases state capital; requires enterprises to relocate, reduce production and business locations.

2. Factors due to the implementation by the enterprise, including: the enterprise participates in implementing political tasks, ensuring social security, balancing supply and demand in the economy as decided by the Prime Minister; implements measures to support the economy as required by competent state authorities; performs national defense and security tasks assigned by the State, the Ministry of Defense, or the Ministry of Public Security; enterprises directly serving national defense and security and enterprises combining economic activities with national defense and security, upon assignment by state agencies, increase the volume of national defense and security products and services or independently conduct research and production of such products and services without revenue or before generating revenue; enterprises implement investment, receipt, or transfer of state capital ownership rights as directed by the Government or the Prime Minister; receive, buy, sell, write off, defer, and handle debts, assets, buy, and sell products and services as prescribed by law or at the request of competent state authorities; implement retroactive clauses as stipulated by the Government; increase depreciation to recover capital quickly as prescribed by tax laws; adjust equity or capital contributions of owners; adjust operational policies according to requirements of competent state authorities, international treaties to which the Socialist Republic of Vietnam is a party, or regulations of international organizations to which Vietnam is a member; implement restructuring plans; supplement or divest investments in other enterprises; new investments, expanding production and business operations; adjust or newly generate financial risk reserves and credit risk reserves as prescribed by law; provide products and services priced by the State and subject to price adjustment mechanisms but not adjusted in time to cover reasonable production and business costs when price-forming factors change as prescribed by the Price Law or when the State adjusts prices lower than those agreed in contracts, orders, or assignments; implement cost allocation for unsuccessful oil exploration and exploitation projects as prescribed by the Government, determine corporate income tax according to oil contracts for oil exploration, exploitation enterprises as prescribed by tax laws; have unrecorded debt purchases and debt handling revenues for debt trading enterprises as prescribed by law; have fluctuations in revenue from securities market organization activities and securities custody business activities; have differences in prize payouts compared to the previous year for lottery businesses; have changes in mining conditions for mining enterprises; enterprises investing abroad where local policy changes directly affect their projects or due to objective conditions in the host country, enterprises must adjust or newly generate reserve provisions as prescribed.

3. Other factors, including: the market directly affects basic input factors for enterprises producing goods listed in the State-priced Goods Catalogue as prescribed by the Price Law; natural disasters, fires, epidemics, wars, and other force majeure events as prescribed by law.

Chapter II
LABOR MANAGEMENT, PAY SCALE, SALARY GRID

Article 5. Labor Management

1. Enterprises shall implement recruitment and utilization of labor consistent with their organizational structure, production organization, requirements, and business tasks, ensuring transparency, fairness, compliance with legal regulations, internal rules, and the Charter of the enterprise.

2. Annually, the General Director, Director must develop a labor plan, report to the Board of Members, Board of Directors, and the Company Chairman for approval as the basis for recruitment and utilization of labor; fully implement wage policies and benefits for employees in accordance with labor laws.

3. In cases where recruitment exceeds the demand for labor leading to insufficient work or unemployment for employees, resulting in termination of employment contracts and increased costs for the enterprise, the General Director, Director, and Board Member shall be held responsible before the enterprise's representative body, and this will be part of the assessment of their performance.

Article 6. Wage Scale and Payroll

1. Based on the management structure, labor organization, and production organization, enterprises shall establish and issue wage scales, payrolls, and allowances for employees, payrolls for the Executive Board, and payrolls for Board Members and dedicated Inspectors as the basis for determining wages, negotiating wages in employment contracts, implementing social insurance, health insurance, unemployment insurance, and other benefits as stipulated by labor laws.

2. The levels of wages in the wage scale, payroll, and allowances shall be determined by the enterprise but must ensure that the total wages of employees, the Executive Board, Board Members, and dedicated Inspectors, calculated based on the levels in the wage scale, payroll, allowances, and additional supplements (if any), do not exceed the planned total wages corresponding to those of employees, the Executive Board, Board Members, and dedicated Inspectors, wherein the wage level of the General Director and Director shall not exceed the wage level specified in point b, Clause 1, Article 19 of this Decree.

3. When establishing or amending the wage scale, payroll, and allowances, the enterprise must seek opinions from employee representative organizations at the workplace, conduct dialogue sessions according to labor laws, and publicly disclose them within the enterprise prior to implementation. Before issuance, the enterprise must report to the representative body of the owner for approval regarding the payroll of Board Members and dedicated Inspectors in enterprises wholly owned by the State, and provide comments for the payroll of Board Members and dedicated Inspectors in enterprises where the State holds more than 50% of the charter capital or voting shares.

4. For employees, the Executive Board, Board Members, and dedicated Inspectors who are officers, professional military personnel, defense workers, officers, non-commissioned officers, police workers, and personnel engaged in confidential work shall continue to be paid according to the payroll and allowance regulations set by the Government for armed forces personnel and personnel engaged in confidential work.

Chapter III
WAGES OF EMPLOYEES AND THE EXECUTIVE BOARD

Section 1
METHODS FOR DETERMINING THE WAGE FUND

Article 7. Method for Determining

The wage fund for workers and the Management Board shall be determined according to the following methods:

1. Determining the wage fund through the average wage level as stipulated in Sections 2 and 4 of this Chapter.

2. Determining the wage fund through a stable wage rate as stipulated in Sections 3 and 4 of this Chapter. This method shall only apply to enterprises that have been operating for at least the same period as the time planned for applying the stable wage rate as prescribed in Clause 1, Article 12 of this Decree.

Article 8. Selection of Method for Determination

1. Depending on tasks, industry characteristics, production and business conditions, enterprises decide to choose one of the two methods for determining the wage fund as prescribed in Article 7 of this Decree.

2. Enterprises with multiple production and business fields that can separate labor and financial indicators to calculate labor productivity and business efficiency corresponding to each field may select an appropriate method as prescribed in Article 7 of this Decree to determine the wage fund corresponding to each field.

3. For enterprises choosing the method of determining the wage fund through a stable wage rate, they must maintain this method of determining the wage fund throughout the application period of the selected stable wage rate (except in cases where there is an impact from external factors or the enterprise changes its business strategy, functions, tasks, organizational structure, significantly affecting its production and business activities) and must report to the representative body of the owner together with the stable wage rate before implementation.

Section 2
DETERMINING THE WAGE FUND THROUGH
THE AVERAGE WAGE LEVEL

Article 9. Planned Average Wage Level

The planned average wage level is determined based on the average wage level (including safety bonuses if the enterprise implements a safety bonus system) achieved in the immediately preceding year for workers and the Management Board, linked to labor productivity and planned profit as follows:

1. For enterprises with profits, the average wage level is linked to increases or decreases in labor productivity and planned profit compared to the immediately preceding year according to the following principles:

a) If labor productivity increases and profit does not decrease, the wage increase shall not exceed the increase in labor productivity;

b) If labor productivity increases but profit decreases, the wage increase shall not exceed 80% of the increase in labor productivity;

c) If labor productivity and profit remain the same as the immediately preceding year, the maximum wage level shall be the same as the immediately preceding year;

d) If labor productivity decreases but profit remains the same as the immediately preceding year, the wage shall decrease according to the decrease in labor productivity;

đ) If labor productivity remains the same as the immediately preceding year and profit increases or decreases, or both labor productivity and profit decrease, the wage adjustment shall decrease according to the decrease in labor productivity and increase or decrease by a maximum of 20% of the increase or decrease in profit;

e) If labor productivity decreases but profit increases, the wage adjustment shall decrease by a maximum of 80% of the decrease in labor productivity and increase by a maximum of 20% of the increase in profit.

After determining the average wage level according to this clause, it must ensure that it is not lower than the wage level prescribed in Clause 2 of this Article.

2. For enterprises without profit or with losses, the average wage level shall be equal to the wage level under the system.

The wage level under the system is determined based on the wage level specified in the labor contract for workers working under a labor contract, the wage level of the Management Board (where the average wage level of the Management Board does not exceed the average wage level of the Members of the Board), and additional wages paid for night work and overtime work as prescribed in the Labor Code. The wage level under the system for workers and the Management Board who are officers, professional military personnel, defense workers, police officers, and personnel engaged in confidential work shall be determined based on their positions, ranks, grades, allowances, and other benefits as prescribed by laws concerning the system and policies for officers, professional military personnel, defense workers, police officers, and personnel engaged in confidential work, in specific cases decided by the representative body of the owner based on the annual labor productivity and business results of the enterprise and legitimate sources of support, ensuring the preservation and development of state capital.

3. For enterprises reducing losses (including years without profit in the plan), the average wage level shall be determined based on the degree of loss reduction, ensuring overall proportionality and reporting to the representative body of the owner for review and comments before making a decision.

4. For newly established enterprises or those just starting operations, the average wage level in the first year of establishment or operation and the following year shall be determined based on the production and business plan and the wage level benchmark in the market for enterprises in the same industry.

5. For enterprises established based on the merger of several enterprises, the planned average wage level in the first year of establishment and the following year shall be determined based on the production and business plan, the wage level benchmark in the immediately preceding year before the merger of the merged enterprises, the wage level of enterprises in the same industry in the market, but shall not exceed the wage level of the enterprise with the highest wage level among the merged enterprises.

6. In cases where enterprises adjust their production and business plans, they must review the planned average wage level for workers and the Management Board to ensure compliance with the conditions prescribed in this Article.

Article 10. Average wage level to be implemented

The average wage level to be implemented shall be determined based on the planned average wage level tied to the degree of fluctuation in labor productivity and actual profit compared to planned labor productivity and profit according to the principle for determining the planned average wage level as stipulated in Article 9 of this Decree.

Article 11. Determination of the wage fund

1. The planned wage fund shall be determined based on the average number of workers (including the Management Board) planned and the planned average wage level as prescribed in Article 9 of this Decree.

2. The actual wage fund shall be determined based on the actual average number of workers (including the Management Board) used and the actual average wage level as prescribed in Article 10 of this Decree.

3. For enterprises with actual profits exceeding the plan, additional wages may be added to the wage fund specified in Clause 2 of this Article according to the principle that for every 1% excess profit, up to a maximum of 2% can be added to the wage fund, but the additional wages shall not exceed 20% of the excess profit over the plan and shall not exceed two months' worth of the average wage as prescribed in Article 10 of this Decree.

Section 3
DETERMINATION OF THE WAGE FUND
THROUGH A STABLE WAGE RATE

Article 12. Stable wage rate

1. The stable wage rate shall be applied in stages (based on fiscal years), for a minimum of two years and a maximum of five years, determined based on the total wages (including safety bonuses for enterprises implementing a safety bonus system, if applicable) actually paid to workers and the Management Board as prescribed by law, and the total value of production and business performance indicators used to calculate the actual wage rate corresponding to the time period (based on fiscal years) immediately preceding the first year of the application of the stable wage rate.

2. Production and business performance indicators for calculating the stable wage rate shall be selected by the enterprise based on total products, output (including converted products, output), total revenue, total revenue minus total costs excluding wages, profit, or other indicators reflecting the characteristics, nature, and effectiveness of the enterprise's operations.

3. During the period of applying the stable wage rate, if there are changes in state policies leading to changes in the calculation method of the production and business performance indicators chosen for the stable wage rate, the enterprise shall report to the representative body of the owner for review and adjustment of the stable wage rate to ensure appropriateness.

Article 13. Determination of the wage fund

1. The planned wage fund shall be determined based on the stable wage rate and the annual production and business performance indicators chosen by the enterprise to calculate the stable wage rate as prescribed in Clause 2 of Article 12 of this Decree.

2. The actual wage fund shall be determined in relation to the actual annual labor productivity and profit compared to the average labor productivity and profit of the previous years before determining the stable wage rate (hereinafter referred to as the average labor productivity and average profit) as follows:

a) The actual wage fund shall be determined based on the stable wage rate and the production and business performance indicators calculated annually using the actual wage rate, ensuring that the wage increase does not exceed the actual annual labor productivity increase compared to the average labor productivity and the actual annual profit is not lower than the average profit;

b) For enterprises with actual profits exceeding the average profit, additional wages may be added to the actual wage fund specified in Point a of this Clause according to the principle that for every 1% excess profit, up to a maximum of 2% can be added to the wage fund, but the additional wages shall not exceed 20% of the excess profit over the plan and shall not exceed two months' worth of the average wage determined based on the actual wage fund specified in Point a of this Clause;

c) For enterprises with actual profits lower than the average profit, the actual wage fund must be reduced accordingly either as a percentage or based on the absolute value of the difference between the actual profit and the average profit, ensuring that the actual wage fund after reduction is not lower than the wage fund calculated based on the actual average number of workers used and the wage regime prescribed in Clause 2 of Article 9 of this Decree;

d) For enterprises without profit or with losses in the implementation year, the actual wage fund shall be calculated based on the actual average number of workers used and the wage regime prescribed in Clause 2 of Article 9 of this Decree. In cases where losses are reduced (including years without profit), the wage fund shall be determined based on the extent of loss reduction, ensuring overall proportionality and reporting to the representative body of the owner for review and comments before making a decision.

Section 4
DETERMINATION OF THE WAGE FUND FOR CERTAIN CASES

Article 14. Determination of the wage fund for public products or services or activities within the scope subject to State production quotas

1. For enterprises implementing public products or services, or both public products or services and business production activities (outside the implementation of public products or services), the portion of the wage fund corresponding to public products or services shall be determined based on the volume of public products or services ordered by the State or assigned tasks, while the portion of the wage fund corresponding to business production activities shall be determined according to the provisions of this Decree.

2. Enterprises operating in fields where the State has set production and business quotas lower than the actual operational capacity of the enterprise, leading to labor productivity not increasing or increasing at a rate lower than the annual consumer price index as stipulated in the Resolution of the National Assembly on the Annual Socio-Economic Development Plan, may be entitled to an additional increase in average wages not exceeding the increase in the consumer price index.

Article 15. Determination of the wage fund for newly generated tasks

1. Enterprises may choose the method of determining the wage fund through a stable wage rate, wherein during the period of applying the stable wage rate, new production and business tasks arise outside those already included in the calculation of the stable wage rate and cannot be applied with the stable wage rate, then the wage fund for workers performing these new production and business tasks shall be determined separately according to the method of determining the wage fund through the average wage level, where the wage fund for workers in the year of new task generation and the following year shall be determined according to the principle applicable to newly established enterprises or enterprises just starting operations as stipulated in Clause 4, Article 9 of this Decree.

2. If enterprises must arrange workers to work night shifts or overtime to perform newly generated tasks outside the plan to mitigate consequences caused by natural disasters, fires, epidemics, wars, and other force majeure events as prescribed by law, in addition to the wage fund determined according to the provisions of Section 2 or Section 3, Chapter III of this Decree, enterprises may also include the additional wages payable for night shift and overtime work (if any) according to the Labor Code.

Article 16. Determination of the wage fund for supplementary labor as required by competent authorities

Enterprises providing air management and control products or services, if required by state agencies to supplement labor to ensure aviation security and safety goals, and if the enterprise applies the method of determining the wage fund through a stable wage rate, may include the wages of the anticipated supplementary workers in the stable wage rate as a basis for determining the wage fund for workers and the Management Board.

Article 17. Determination of the wage fund for high-tech labor

Enterprises using laborers who are pilots or personnel classified as high-tech human resources under the High-Tech Law related to hydrogen energy and high-priority investment development technology items as specified by the Government and the Prime Minister; information technology and digital technology human resources directly engaged in research, development, design, assembly, manufacturing, testing, and trial of semiconductor products, artificial intelligence products, key and critical digital technology products as stipulated by relevant laws, and who believe that a separate wage fund is necessary to pay commensurate wages to attract, encourage, and retain such workers, may determine separate wages for these workers from the wage fund for workers and the Management Board. The annual wage level for these workers shall be based on market wage levels but must ensure that it does not reduce profits compared to the previous year's performance, and in cases where a stable wage rate is determined, it should not reduce profits compared to the average profit. The enterprise must report to the owner's representative agency for review and approval before implementation.

Section 5
TEMPORARY ADVANCE, RESERVE AND DISTRIBUTION OF WAGES

Article 18. Advance payment and reserve for wages

1. Based on the planned wage fund determined according to the provisions of Sections 2, 3, and 4 of Chapter III of this Decree, the enterprise decides on advance payments to be used monthly to pay employees and the Management Board. In cases where the advance payment exceeds the actual wage fund, the excess must be repaid from the wage fund of the following consecutive year.

2. Based on the actual wage fund determined according to the provisions of Sections 2, 3, and 4 of Chapter III of this Decree, the enterprise may use the entire actual wage fund to pay all wages to employees and the Management Board within the year, or retain a portion to establish a reserve fund for the next year after fully paying the statutory wage and additional wages for night work and overtime as stipulated by the Labor Code. The maximum level of the reserve fund shall not exceed 17% of the actual wage fund of that year and must be fully paid out before June 30 of the following consecutive year; after this date, if the enterprise has not fully paid out the reserve fund, it must return the unpaid portion to other income categories of the enterprise.

Article 19. Distribution of Wages

1. Employees and the Management Board are paid wages according to the wage system issued by the enterprise, which includes:

a) Employee wages are paid based on position titles or jobs, linked to labor productivity and individual contributions to the business results of the enterprise;

b) Management Board wages are paid based on position titles and functions, and business results, wherein the maximum wage level for the General Director or Manager (excluding cases where the General Director or Manager is hired under a labor contract) shall not exceed ten times the average wage level of employees.

2. When establishing the wage system, the enterprise must consult with the representative organization of employees at the workplace, engage in dialogue at the workplace as prescribed by labor laws, report to the representative body of the owner for inspection, supervision, and public disclosure at the enterprise prior to implementation.

Chapter IV
WAGES AND REMUNERATION
OF BOARD MEMBERS AND AUDITORS

Article 20. Basic Salary Level

1. The basic salary level for full-time Board Members and Auditors is specified as follows:

TABLE OF BASIC SALARY LEVELS

Unit: million VND/month

2. The objects and conditions for applying levels 1, 2, 3, and 4 of Group I and Group II are implemented according to the regulations set forth in the Appendix attached to this Decree.

3. Annually, the enterprise bases its planned production and business targets to determine the basic salary level for each Board Member and Auditor.

Article 21. Planned Wage Level

The planned wage level for full-time Board Members and Auditors is determined based on the basic salary level and profit targets, planned profit margin as follows:

1. If the enterprise has profits, the planned wage level is linked to the profit target and planned profit margin compared to the previous year's actual profit and profit margin as follows:

a) If the planned profit and profit margin are not lower than the previous year's actual figures, the maximum planned wage level is twice the basic salary;

b) If the planned profit or profit margin is lower than the previous year's figures or both the planned profit and profit margin are lower than the previous year's figures, the maximum planned wage level is calculated by multiplying 70% by twice the basic salary and the ratio of the planned profit or profit margin to the previous year's lower figure. After calculating based on profit or profit margin, the planned wage level shall not be less than 80% of the basic salary.

2. If the enterprise does not have profits, the maximum planned wage level is 70% of the basic salary.

3. If the enterprise incurs losses, the maximum planned wage level is 50% of the basic salary. In cases of reduced losses (including years without profits), the maximum planned wage level is 80% of the basic salary based on the degree of reduction compared to the previous year's actual figures.

4. If the enterprise has planned profits and profit margins that are not lower than the previous year's actual figures, and the planned profit is significantly higher than the minimum profit target linked to the basic salary level, the following applies:

a) For enterprises eligible to apply basic salary levels 1, 2, or 3 of Group I and Group II, if the planned profit is more than 50% higher than the corresponding minimum profit target for the applicable basic salary level, or for enterprises eligible to apply basic salary level 4 of Group I and Group II, if the planned profit is not lower than the minimum profit target specified for level 3 of the same industry group as per the Appendix attached to this Decree, they may increase the wage up to 10% above the maximum planned wage level determined according to point a, Clause 1, Article 21 of this Decree;

b) For enterprises with planned profits significantly higher than the minimum profit target for level 1 of Group I corresponding to their industry group as per the Appendix attached to this Decree, playing a crucial role in the national economy, and whose wage levels for Board Members and Auditors determined according to point a, Clause 1, Article 21 of this Decree are lower than those of equivalent positions in similar enterprises in the market, and the enterprise deems it necessary to apply a higher wage level than the prescribed level, they must report to the representative body of the owner for consideration and decision after consulting the Ministry of Labor, Invalids and Social Affairs to ensure overall balance.

5. An enterprise that has profit or a planned profit rate not lower than the previous year's actual performance, but the planned salary level determined according to the provisions of Clause 1 and Clause 4 of this Article is lower than the previous year's actual salary level shall be calculated based on the previous year's actual salary level.

6. For newly established enterprises or those starting operations for the first time, the maximum planned salary level in the first year of establishment or commencement of operations shall not exceed the basic wage. In cases where a newly established enterprise is formed based on the merger of several enterprises, if the planned salary level is lower than the highest actual salary level of corresponding positions in the constituent enterprises before the merger, it shall be calculated based on the salary levels of those corresponding positions.

7. For enterprises engaged in the production and provision of public goods and services, the planned salary level shall be determined as follows:

a) Enterprises solely engaged in the production and provision of public goods and services may use the volume index of public goods and services to assess and determine the planned salary level, wherein: If the volume of public goods and services is not lower than the previous year's actual performance, the maximum planned salary level shall equal the basic wage; if the volume of public goods and services is lower than the previous year's actual performance, the maximum planned salary level shall equal the basic wage multiplied by the ratio between the planned volume of public goods and services and the previous year's actual volume of public goods and services; in cases where the volume of public goods and services is lower than 50% of the previous year's actual performance due to the implementation of state policies or affected by objective factors as stipulated in Article 4 of this Decree, the representative body of the owner shall consider and decide on the specific planned salary level, with a maximum equal to the basic wage.

b) Enterprises engaged in both the production and provision of public goods and services and business activities (other than the production and provision of public goods and services) may choose to determine the planned salary level according to business activities as prescribed in Clauses 1, 2, 3, 4, and 5 of this Article or according to the production and provision of public goods and services as prescribed in point a of this Clause.

8. The planned salary level of Board Members and Supervisors who are officers, professional military personnel, defense officials, officers, non-commissioned officers, and personnel involved in confidential work, when determined according to the provisions of Clauses 1, 2, 3, and 7 of this Article, shall not be lower than the salary level according to their position, rank, grade, and allowances as prescribed by the Government for Board Members and Supervisors who are officers, professional military personnel, defense officials, officers, non-commissioned officers, and personnel involved in confidential work.

9. In cases where an enterprise adjusts its production and business plan, it must review the average planned salary level of Board Members and Supervisors working full-time to ensure compliance with the conditions stipulated in this Article.

Article 22. Level of actual salary

1. The annual level of actual salary for Board Members and Supervisors working on a full-time basis shall be based on the planned salary level, the degree of achievement of profit targets, and the planned profit margin, as follows:

a) If the enterprise achieves profits and a profit margin not lower than the plan, the maximum level of actual salary will equal the planned salary level;

b) If the enterprise's profit or profit margin is lower than the plan, the salary will be reduced according to the principle of reducing 1% of the salary for every 1% reduction in profit or profit margin. In cases where both profit and profit margin are lower than the plan, the salary will be reduced according to the lower of the two ratios, following the principle of reducing 1% of the salary for every 1% reduction in profit or profit margin. After the reduction, the level of actual salary shall not be less than 80% of the basic salary;

c) For enterprises that do not achieve profit, incur losses, or reduce losses compared to the plan, or for Board Members and Supervisors who are officers, professional military personnel, defense officials, officers, non-commissioned officers, or personnel engaged in confidential work, the level of actual salary shall be determined according to the principles set out for determining the planned salary level under Clause 2, Clause 3, and Clause 8 of Article 21 of this Decree.

2. In cases where the actual profit and profit margin exceed the plan, additional salary will be added to the level of actual salary specified in Point a of Clause 1 of this Article according to the principle of adding 1% of the salary for every 1% excess profit over the plan, but not more than 2% of the salary, with the total additional amount not exceeding 20% of the actual salary level specified in Point a of Clause 1 of this Article.

3. For enterprises engaged in the production and provision of public goods or services, if they choose to determine the planned salary level based on their business operations (excluding the production and provision of public goods or services), the level of actual salary shall be determined according to Clause 1 and Clause 2 of this Article. In cases where enterprises choose to determine the planned salary level based on the volume of public goods or services provided, the level of actual salary shall be based on the planned salary level linked to the degree of completion of the volume of public goods or services relative to the plan, following the principle of determining the planned salary level based on the production and provision of public goods or services.

Article 23. Level of Remuneration

The level of remuneration for Board Members and Supervisors working on a part-time basis shall be determined based on the actual time worked, but shall not exceed 20% of the corresponding salary level for full-time Board Members and Supervisors.

Article 24. Advance Payment of Salary and Remuneration

Based on the planned salary and remuneration levels, enterprises shall advance payment of salary and remuneration to Board Members and Supervisors monthly. In cases where the advance payment exceeds the actual salary and remuneration level, the excess must be repaid before June 30 of the following year.

Article 25. Determination of Salary and Remuneration Levels

1. For state-owned enterprises holding 100% of the charter capital, the representative body of the owner shall approve the planned salary and remuneration levels; the actual salary and remuneration levels shall be linked to the degree of completion of tasks by each Board Member and Supervisor, and shall be notified to the enterprise to transfer to the Board Members and Supervisors.

2. For enterprises in which the state holds more than 50% of the charter capital or the majority of voting shares, the representative body of the owner shall approve the planned salary and remuneration levels for Board Members and Supervisors representing state capital, provide opinions on the maximum salary and remuneration levels for Board Members and Supervisors not representing state capital, and direct the representatives of state capital to participate in discussions and voting to decide specific levels and payments for Board Members and Supervisors.

Chapter V
AWARDS AND BENEFITS

Article 26. Bonuses and welfare for state-owned enterprises holding 100% of charter capital

1. Bonuses and welfare for employees (including members of the Management Board hired under labor contracts)

a) The bonus and welfare fund for employees shall be determined, managed, and utilized in accordance with the Government's regulations on state investment in enterprises and management and utilization of capital and assets at enterprises, as well as financial systems for credit organizations, foreign bank branches, and financial supervision and evaluation of the effectiveness of state investment in credit organizations holding 100% of charter capital and those with state capital.

b) The bonus fund shall be extracted from the bonus and welfare fund for employees by the enterprise. Based on this bonus fund, the enterprise shall award bonuses to employees according to the bonus system.

c) The bonus system shall be established and promulgated by the enterprise after consulting the opinions of employee representative organizations at the workplace and dialogue organizations at the workplace in accordance with labor laws, and publicly disclosed at the enterprise before implementation.

2. Bonuses for the Management Board, Members of the Board, and Supervisors

a) The bonus fund for appointed Management Board members, Board Members, and Supervisors (referred to as the bonus fund for business managers and supervisors) shall be determined, managed, and utilized in accordance with the Government's regulations on state investment in enterprises and management and utilization of capital and assets at enterprises, as well as financial systems for credit organizations, foreign bank branches, and financial supervision and evaluation of the effectiveness of state investment in credit organizations holding 100% of charter capital and those with state capital.

b) Based on the annual bonus fund for business managers and supervisors, the enterprise shall award bonuses to Management Board members, Board Members, and Supervisors based on their contribution to production and business efficiency and management and control results according to the enterprise's bonus system.

c) The bonus system shall be established and promulgated by the enterprise in accordance with the law, ensuring democracy, transparency, and public disclosure after consulting the opinions of employee representative organizations at the workplace and obtaining approval from the state ownership representative agency before implementation.

Article 27. Bonuses and welfare for enterprises holding more than 50% of charter capital or the total number of voting shares

Based on actual profits after fulfilling obligations to the state, contributions from shareholders, and the Articles of Association of the enterprise, the enterprise shall determine bonuses and welfare for employees, the Management Board, Board Members, and Supervisors as follows:

1. Bonuses and welfare for employees (including members of the Management Board hired under labor contracts)

a) The maximum bonus and welfare fund for employees shall be as follows: Not exceeding three months' average salary if actual profits are not lower than the plan; not exceeding three months' average salary multiplied by the ratio between actual profits and planned profits if actual profits are lower than the plan.

b) Based on the bonus and welfare fund specified in point a of this clause, the enterprise shall decide to allocate it into a bonus fund and a welfare fund, where the bonus fund shall be used for year-end bonuses, regular bonuses, special bonuses, and bonuses awarded according to the law on commendation and rewards for employees (including Management Board members hired under labor contracts), and bonuses for individuals and units outside the enterprise that have made significant contributions to business operations and management work. The employee bonus fund shall not be used to award bonuses to appointed Management Board members, Board Members, and Supervisors of the enterprise (except for bonuses awarded according to the law on commendation and rewards). The welfare fund shall be used for constructing or repairing welfare facilities of the enterprise, funding welfare activities for employees (including Management Board members and Board Members), contributing part of the capital to construct common welfare facilities or with other units according to contracts, using part of the welfare fund to provide emergency assistance to employees (including those retiring or losing their ability to work) who are in difficult circumstances without support or engaging in charitable social work.

c) Based on the bonus fund specified in point b of this clause, the enterprise shall award bonuses to employees according to the bonus system. The bonus system shall be established and promulgated by the enterprise after consulting the opinions of employee representative organizations at the workplace and dialogue organizations at the workplace in accordance with labor laws, and publicly disclosed at the enterprise before implementation.

2. Bonuses for the Management Board, Members of the Board, and Supervisors

a) The maximum bonus fund for appointed Management Board members, Board Members, and Supervisors shall be as follows: Not exceeding two months' average salary and remuneration if actual profits are not lower than the plan; not exceeding two months' average salary and remuneration multiplied by the ratio between actual profits and planned profits if actual profits are lower than the plan.

b) Based on the bonus fund specified in point a of this clause, the enterprise shall award bonuses to Management Board members, Board Members, and Supervisors based on their contribution to production and business efficiency and management and control results according to the enterprise's bonus system.

c) The bonus system shall be established and promulgated by the enterprise in accordance with the law, ensuring democracy, transparency, and public disclosure after consulting the opinions of employee representative organizations at the workplace and the opinion of the state ownership representative agency before implementation.

Chapter VI
RESPONSIBILITIES FOR IMPLEMENTATION

Article 28. Responsibilities of State-owned Enterprises with 100% State Capital

1. The General Director or Director shall be responsible for:

a) Building and reporting to the Board of Members or the Company Chairman: The labor plan, wage fund of employees, Management Board, and individual salary levels of each member of the Management Board before March 31 each year; employee bonus fund, enterprise management bonus fund, Supervisor bonus fund before May 30 each year; pay scale, wage table, stable unit price of wages, wage regulations for employees and the Management Board, bonus regulations for employees, bonus regulations for enterprise managers, Supervisors;

b) Deciding on advance payment of wages, setting aside wage reserves, paying wages to employees and the Management Board, and awarding bonuses to employees. Hiring, using labor, grading salaries, increasing salaries, and implementing other systems for employees according to labor laws;

c) Regularly reporting to the Board of Members or the Company Chairman on labor conditions, wages, and bonuses; providing complete reports, documents, and data on labor, wages, and bonuses as required by the Head of the Supervisory Board, Supervisor. Publicizing wages and bonuses of the Management Board according to the law;

d) Summarizing labor conditions, wages, remuneration, and bonuses of the previous adjacent year and the planning year of the enterprise and its subsidiaries (if any), submitting reports to the State Capital Representative Agency and the Ministry of Labor - Invalids and Social Affairs before July 15 each year.

2. The Board of Members or the Company Chairman shall be responsible for:

a) Reporting to the State Capital Representative Agency: Individual salary levels, remuneration of each Board Member, Supervisor, employee wage fund, and Management Board for the previous adjacent year before April 15 each year; employee bonus fund, enterprise management bonus fund, Supervisor bonus fund before June 15 each year; stable unit price of wages; wage table of full-time Board Members, Supervisors; bonus regulations for enterprise managers, Supervisors;

b) Approving the labor plan, employee wage fund, and Management Board wage fund before April 15 each year; employee bonus fund before June 30 each year; issuing pay scales, wage tables for employees, the Management Board, wage tables for full-time Board Members, Supervisors; wage regulations, bonus regulations; deciding on salary grading, salary increases for the Management Board, Board Members, full-time Supervisors;

c) Sending reports to the State Capital Representative Agency and Supervisors about the labor plan, pay scales, wage tables for employees, the Management Board, wage funds, bonus funds, wage regulations, bonus regulations for employees, salary and bonus levels of Management Board members, bonus regulations for enterprise managers, Supervisors within 15 days from the date of approval and issuance for inspection and supervision. Publicizing salaries and bonuses of Board Members according to the law.

3. The Head of the Supervisory Board, Supervisor shall be responsible for assisting the State Capital Representative Agency in inspecting and supervising the implementation by the Board of Members or the Company Chairman, the General Director, and the Director according to the law and this Decree.

Article 29. Responsibilities of the State Capital Representative in a Business Entity in which the State Holds More than 50% of the Charter Capital or Total Voting Shares

1. Participate in providing opinions for the business entity to specify the responsibilities of the Board of Directors, Board of Members, Head of the Supervisory Board, Supervisor, General Director, and Director, respectively, as the responsibilities of the Board of Members, Head of the Supervisory Board, Supervisor, General Director, and Director of a business entity in which the State holds 100% of the charter capital in implementing the contents prescribed in Article 28 of this Decree.

2. Report to the agency representing the owner's rights for approval on the salary table of Board Members and Supervisors working full-time, stable salary rate, wage fund of employees and the Management Board; the salary and remuneration of each Board Member and Supervisor; employee bonus fund, management bonus fund, and bonus regulations of managers and supervisors to participate in opinions and voting in the Board of Directors, Board of Members, or Shareholders' Meeting and report to the agency representing the owner's rights after approval.

3. Annually assess the responsibility for managing labor, wages, remuneration, and bonuses in the business entity; in cases where tasks are not completed, clearly identify the reasons, propose forms of responsibility handling, and resolution measures.

Article 30. Responsibilities of the Agency Representing the Owner's Rights

1. For businesses in which the State holds 100% of the charter capital

a) Approve the planned salary and remuneration level, the actual salary and remuneration level of the previous year for each Board Member and Supervisor before April 30 each year; the management bonus fund, Supervisor bonus fund before June 30 each year; stable salary rate. Agree on the salary table of Board Members and full-time Supervisors;

b) Provide opinions on the planned wage fund (for businesses determining the wage fund based on average salary levels), the actual wage fund of the previous year for employees and the Management Board before April 30 each year; employee bonus fund before June 30 each year; management bonus regulations of the business entity, Supervisor.

2. For businesses in which the State holds more than 50% of the charter capital or total voting shares, direct the State Capital Representative to participate in providing opinions for the Board of Members, Board of Directors, or Shareholders' Meeting of the business entity to decide specifically on the planned salary and remuneration level, the actual salary and remuneration level of the previous year for Board Members and Supervisors who are State Capital Representatives and those who are not, planned wage fund (for businesses determining the wage fund based on average salary levels), the actual wage fund of the previous year for employees and the Management Board before April 30 each year; employee bonus fund, management bonus fund, Supervisor bonus fund before June 30 each year; stable salary rate; salary table of Board Members and full-time Supervisors; management bonus regulations of the business entity, Supervisor.

3. Approve or provide opinions after consulting with the Ministry of Labor, Invalids, and Social Affairs regarding the salary of economic groups (including stable salary rate, wage fund of employees, salary level of Board Members, Supervisors); high-tech labor salary according to Article 17 of this Decree; apply the salary level for Board Members, Supervisors as stipulated in point b, Clause 4, Article 21 of this Decree.

4. Within 15 days from the date of approval or providing opinions on the wage fund of employees and the Management Board, the salary and remuneration of Board Members and Supervisors, employee bonus fund, management bonus fund for businesses applying the basic salary level of Group I Appendix issued together with this Decree, submit reports to the Ministry of Labor, Invalids, and Social Affairs for monitoring, inspection, and supervision.

5. Receive reports on labor, wages, and bonuses from businesses for inspection and supervision; compile and submit reports to the Ministry of Labor, Invalids, and Social Affairs on the implementation of labor, wages, remuneration, and bonuses of the previous year and the planned year of managed businesses before July 30 each year.

Article 31. Responsibilities of the Ministry of Labor - Invalids and Social Affairs

1. Guide the implementation of labor management, wages, remuneration, and bonuses for enterprises as prescribed in this Decree.

2. Take the lead and coordinate with relevant ministries and sectors to submit to the Government for consideration and adjustment of the basic wage level to be appropriate with the actual conditions of each period.

3. Coordinate with relevant ministries and sectors and representative bodies of the owners to organize inspections, audits, and supervision of the implementation of regulations on labor management, wages, remuneration, and bonuses at enterprises.

Chapter VII
IMPLEMENTING PROVISIONS

Article 32. Transitional Provisions

Enterprises that have established a wage scale and salary table for employees, Board of Management, Members of the Board of Directors, and Supervisors ensuring the provisions of Article 6 of this Decree; bonus regulations (or the distribution of bonuses within the salary and bonus payment system of the enterprise) for managers and Supervisors may continue to implement the current wage scale, salary table, and bonus regulations of the enterprise.

Article 33. Effective Date

1. This Decree takes effect from April 15, 2025. The systems prescribed in this Decree shall be implemented from January 1, 2025.

2. For state-owned enterprises holding 100% of the charter capital with a management structure under the model of the Chairman of the company兼任总经理，如果需要继续按照本法令第三章的规定确定总经理和监事的工资在员工和董事会的工资总额中，则继续根据本法令第三章的规定确定总经理和监事的工资在员工和董事会的工资总额中。根据薪酬制度，企业每年向代表所有者的机构报告并决定总经理和监事的具体工资水平。

3. Repeal the following consolidated documents:

a) Decree No. 51/2016/NĐ-CP dated June 13, 2016 of the Government stipulating the management of labor, wages, and bonuses for workers employed in limited liability companies wholly owned by the State;

b) Decree No. 52/2016/NĐ-CP dated June 13, 2016 of the Government stipulating wages, remuneration, and bonuses for managers of limited liability companies wholly owned by the State;

c) Decree No. 53/2016/NĐ-CP dated June 13, 2016 of the Government stipulating labor, wages, remuneration, and bonuses for companies with controlling shares or contributions from the State;

d) Decree No. 21/2024/NĐ-CP dated February 23, 2024 of the Government amending and supplementing some articles of Decree No. 51/2016/NĐ-CP dated June 13, 2016 of the Government stipulating the management of labor, wages, and bonuses for workers employed in limited liability companies wholly owned by the State and Decree No. 52/2016/NĐ-CP dated June 13, 2016 of the Government stipulating wages, remuneration, and bonuses for managers of limited liability companies wholly owned by the State;

e) Decree No. 20/2020/NĐ-CP dated February 17, 2020 of the Government implementing pilot management of labor, wages, and bonuses for certain state-owned economic groups and corporations;

f) Decree No. 87/2021/NĐ-CP dated September 29, 2021 of the Government extending the implementation time and amending and supplementing some articles of Decree No. 20/2020/NĐ-CP dated February 17, 2020 of the Government implementing pilot management of labor, wages, and bonuses for certain state-owned economic groups and corporations;

g) Decree No. 64/2023/NĐ-CP dated August 23, 2023 of the Government supplementing Decree No. 87/2021/NĐ-CP dated September 29, 2021 of the Government extending the implementation time and amending and supplementing some articles of Decree No. 20/2020/NĐ-CP dated February 17, 2020 of the Government implementing pilot management of labor, wages, and bonuses for certain state-owned economic groups and corporations;

h) Decree No. 121/2016/NĐ-CP dated August 24, 2016 of the Government implementing pilot management of labor and wages for the Military Telecommunications Group during the period 2016-2020;

i) Decree No. 74/2020/NĐ-CP dated July 1, 2020 of the Government amending and supplementing some articles of Decree No. 121/2016/NĐ-CP dated August 24, 2016 of the Government implementing pilot management of labor and wages for the Military Telecommunications Group during the period 2016-2020;

j) Decree No. 82/2021/NĐ-CP dated September 6, 2021 of the Government extending the implementation time and amending and supplementing some articles of Decree No. 121/2016/NĐ-CP dated August 24, 2016, which has been amended and supplemented by Decree No. 74/2020/NĐ-CP dated July 1, 2020 of the Government implementing pilot management of labor and wages for the Military Industry and Telecommunications Group;

k) Decree No. 79/2024/NĐ-CP dated July 2, 2024 of the Government amending and supplementing some articles of Decree No. 121/2016/NĐ-CP dated August 24, 2016, which has been amended and supplemented by Decree No. 74/2020/NĐ-CP dated July 1, 2020 and Decree No. 82/2021/NĐ-CP dated September 6, 2021 of the Government implementing pilot management of labor and wages for the Military Industry and Telecommunications Group.

4. Repeal the following clause:

a) Clause 2, Article 32 of Decree No. 151/2013/NĐ-CP dated November 1, 2013 of the Government, which has been amended and supplemented by Clause 12, Article 1 of Decree No. 147/2017/NĐ-CP dated December 25, 2017 of the Government amending and supplementing some articles of Decree No. 151/2013/NĐ-CP dated November 1, 2013 of the Government on the functions, tasks, and operational mechanisms of the State Capital Investment Corporation.

b) Clause 2, Article 30 of Decree No. 129/2020/NĐ-CP dated October 27, 2020 of the Government on the functions, tasks, and operational mechanism of the Vietnam Asset Management Company Limited;

c) Article 29 of Decree No. 53/2013/NĐ-CP dated May 18, 2013 of the Government on the establishment, organization, and operation of the Vietnam Asset Management Corporation;

5. Amend the first and second bullet points under point b, Clause 1, Article 12 of Decree No. 60/2021/NĐ-CP dated June 21, 2021 of the Government stipulating the financial autonomy mechanism for public service units to read: "Group 1 and Group 2 Units: Based on their financial situation, public service units are allowed to implement the wage self-management mechanism (including determining the wage fund, paying wages to staff and workers) according to the results of the unit's operations like state-owned enterprises";

Article 34. Implementation Organization

1. The representative body of the owner shall manage labor, wages, remuneration, and bonuses for the enterprise entrusted with the rights of the owner as provided for in this Decree.

2. The Board of Members or the Chairman of the company at the enterprise specified in Clause 1, Article 1 of this Decree shall organize the management of labor, wages, and bonuses based on the provisions of this Decree for employees, the management board, members of the board, and supervisors in wholly-owned subsidiaries; decide to apply the provisions of this Decree appropriately to the actual conditions of subsidiaries holding more than 50% of the charter capital or the total number of voting shares to establish and issue regulations on managing labor, wages, remuneration, and bonuses for these subsidiaries. The regulations must clearly reflect the application of this Decree, other contents (if any), and must be submitted to the representative body of the owner and the Ministry of Labor, Invalids, and Social Affairs for inspection and supervision.

3. The representative of the State’s capital at the enterprise specified in Clause 2, Article 1 of this Decree shall participate in providing opinions for the Board of Directors or the Board of Members of the enterprise to decide on applying the provisions of this Decree appropriately to the actual conditions of wholly-owned subsidiaries or subsidiaries holding more than 50% of the charter capital or the total number of voting shares to establish and issue regulations on managing labor, wages, remuneration, and bonuses for these subsidiaries. The regulations must clearly reflect the application of this Decree, other contents (if any), and must be submitted to the representative body of the owner and the Ministry of Labor, Invalids, and Social Affairs for inspection and supervision.

4. For enterprises (excluding subsidiaries specified in Clauses 2 and 3 of this Article) having over 50% of the charter capital as the total contribution of the State and the enterprise specified in Clauses 1 and 2, Article 1 of this Decree or the total contribution of enterprises specified in Clauses 1 and 2, Article 1 of this Decree, the State capital representative body and the enterprise with a total contribution exceeding 50% of that capital shall discuss and decide on applying the provisions of this Decree appropriately to the actual conditions to establish and issue regulations on managing labor, wages, remuneration, and bonuses for the enterprise. The regulations must clearly reflect the application of this Decree, other contents (if any).

5. Organizations established and operating under the model of a limited liability company wholly owned by the State according to the Law on Credit Institutions, the Law on Deposit Insurance, and the non-budgetary state financial funds currently implementing the wage mechanism of a limited liability company wholly owned by the State, and the Vietnam Policy Bank and the Vietnam Development Bank shall manage labor, wages, remuneration, and bonuses according to the provisions of this Decree in accordance with the special characteristics of these organizations, where the maximum salary level of board members and supervisors of non-budgetary state financial funds shall not exceed 1.5 times the basic salary. Assign the Ministry of Labor, Invalids, and Social Affairs to guide the management of labor, wages, remuneration, and bonuses for these organizations; annually receive, review, inspect, and supervise reports on the labor plan, employee wage fund, and management board, approve the salary, remuneration, and bonuses of each board member and supervisor of the Vietnam Policy Bank after consulting with the Ministry of Finance and the State Bank of Vietnam. Assign the Ministry of Finance to annually receive, review, inspect, and supervise reports on the labor plan, employee wage fund, and management board, approve the salary, remuneration, and bonuses of each board member and supervisor of the Vietnam Development Bank after consulting with the Ministry of Labor, Invalids, and Social Affairs.

6. When securities exchanges and the Vietnam Securities Depository and Central Counterparty determine the wage fund of employees and the management board, the salaries, and remuneration of board members and supervisors, if there are objective factors specified in Article 4 of this Decree and points b and c, Clause 2, Article 6 of Decree No. 59/2021/NĐ-CP dated June 18, 2021 of the Government stipulating some special contents about the financial management mechanism and assessment of operational efficiency for the Vietnam Securities Exchange and the Vietnam Securities Depository and Central Counterparty, causing revenue fluctuations of more than 7% increase or more than 3% decrease, then the portion of revenue increase exceeding 7% (in the case of revenue increasing by more than 7%) or the portion of revenue decrease exceeding 3% (in the case of revenue decreasing by more than 3%) shall be excluded from the revenue index used to determine labor productivity, profit, and profit margin to determine the wage fund of employees and the management board, and the salaries and remuneration of board members and supervisors.

7. The State Capital Investment Corporation when implementing the provisions of this Decree and the regulations on salaries stipulated in Clause 1, Article 32 of Decree No. 151/2013/ND-CP dated November 1, 2013, which has been amended and supplemented by Clause 12, Article 1 of Decree No. 147/2017/ND-CP dated December 25, 2017 of the Government amending and supplementing some articles of Decree No. 151/2013/ND-CP dated November 1, 2013 of the Government on the functions, tasks, and operational mechanisms of the State Capital Investment Corporation, if there are objective factors stipulated in Article 4 of this Decree causing revenue fluctuations (after deducting the original value of sold capital) to increase by more than 7% or decrease by more than 3%, such fluctuations shall be excluded from the revenue target (after deducting the original value of received capital) according to the principle stipulated in Clause 6 of this Article for determining labor productivity, profit, and profit margin to determine the wage fund for workers and managers, and the salary and remuneration for members of the board and supervisors.

8. For Vietnam Television, the Ministry of Labor - Invalids and Social Affairs shall guide the management of salaries for Vietnam Television based on the provisions of Clause 9, Article 2 of Decree No. 60/2022/ND-CP dated September 8, 2022 of the Government on the functions, tasks, powers, and organizational structure of Vietnam Television and relevant laws, following the salary mechanism stipulated in Chapter III of this Decree, linked to labor productivity and operational efficiency, suitable to the special nature of Vietnam Television.

9. The midday meal or fixed meal allowance for workers, managers, board members, and supervisors shall be implemented according to the collective labor agreement or enterprise internal regulations in accordance with the Labor Code.

10. Political organizations and political-social organizations shall consider and decide on the application of the provisions of this Decree to enterprises held 100% of the charter capital or over 50% of the charter capital or the total number of voting shares by such organizations.

11. The Minister, Head of a ministerial-level agency, Head of an agency under the Government, Chairman of the People's Committee of provinces and centrally-run cities, and related organizations and individuals are responsible for enforcing this Decree.

 

 

ANNEX

SUBJECTS AND CONDITIONS FOR APPLYING THE BASIC SALARY LEVEL
(Attached to Decree No. 44/2025/ND-CP dated February 28, 2025 of the Government)

I. SUBJECTS AND CONDITIONS FOR APPLYING GROUP I

a) Cadres, civil servants, public officials, and workers as stipulated in Article 2 of Decree No. 178/2024/NĐ-CP dated December 31, 2024 (amended and supplemented by Decree No. 67/2025/NĐ-CP dated March 15, 2025) of the Government on policies and treatment for cadres, civil servants, public officials, workers, and armed forces personnel in the process of organizational restructuring of the political system, having a total mandatory social insurance contribution period of at least 15 years when working in heavy, hazardous, or dangerous jobs or extremely heavy, hazardous, or dangerous jobs listed by the agency under the Government responsible for labor administration, or working in areas with particularly difficult socio-economic conditions including time worked in places with regional allowances of coefficient 0.7 or higher before January 1, 2021, and reaching the retirement age as specified in Appendix II issued together with Decree No. 135/2020/NĐ-CP, ceasing work immediately due to direct impact from organizational restructuring and implementation of the two-level local government model;

a) Enterprises that are the parent companies of economic groups; banks; state-owned corporations; parent companies converted from state-owned corporations.

b) Independent state-owned enterprises at the time of implementing the salary system as stipulated in Clause 1, Article 33 of this Decree, currently classified and graded according to the special corporation level or corporation level as prescribed in Decree No. 52/2016/ND-CP dated June 13, 2016 of the Government on salaries, remuneration, and bonuses for managers of limited liability companies wholly owned by the State.

c) Enterprises belonging to Group II in Section II of the Appendix that meet the conditions prescribed for Group I Level 3 or higher may be considered and applied for the corresponding basic salary level of Group I based on their achievements.

2. Conditions for Application

a) Issue a table of minimum capital (shareholders' equity or shareholders' contribution), revenue, and pre-tax profit corresponding to the basic salary levels of Levels 1, 2, and 3 of Group I by industry and field as follows:

b) Enterprises shall determine their basic salary level based on their industry and field of production and business operations and planned production and business targets as follows:

- Enterprises operating in which industry or field shall apply the corresponding group industry or field. In cases where enterprises operate in multiple fields, they may choose based on their main production and business operations or the field with the highest revenue to select the applicable industry or field for the basic salary level.

- Enterprises meeting all three criteria of capital, revenue, and profit (after excluding the impact of objective factors as prescribed) of Levels 1, 2, and 3 shall apply the corresponding basic salary level of those levels. Enterprises not meeting all three criteria of capital, revenue, and profit of Levels 1, 2, and 3 shall apply the basic salary level of Level 4.

- Newly established or newly operational enterprises shall use the capital criteria to determine their basic salary level in the first year of establishment or operation as follows: if they meet the capital criteria of Levels 1, 2, and 3, they shall apply the corresponding basic salary level of those levels; if their capital is lower than the prescribed capital criteria for Level 3, they shall apply the basic salary level of Level 4.

II. SUBJECTS AND CONDITIONS FOR APPLYING GROUP II

a) Cadres, civil servants, public officials, and workers as stipulated in Article 2 of Decree No. 178/2024/NĐ-CP dated December 31, 2024 (amended and supplemented by Decree No. 67/2025/NĐ-CP dated March 15, 2025) of the Government on policies and treatment for cadres, civil servants, public officials, workers, and armed forces personnel in the process of organizational restructuring of the political system, having a total mandatory social insurance contribution period of at least 15 years when working in heavy, hazardous, or dangerous jobs or extremely heavy, hazardous, or dangerous jobs listed by the agency under the Government responsible for labor administration, or working in areas with particularly difficult socio-economic conditions including time worked in places with regional allowances of coefficient 0.7 or higher before January 1, 2021, and reaching the retirement age as specified in Appendix II issued together with Decree No. 135/2020/NĐ-CP, ceasing work immediately due to direct impact from organizational restructuring and implementation of the two-level local government model;

Enterprises applying the basic salary levels of Levels 1, 2, 3, and 4 of Group II are other enterprises (excluding those specified in Point 1 of Section I of the Appendix).

2. Conditions for Application

a) Issue a table of minimum capital (shareholders' equity or shareholders' contribution), revenue, and pre-tax profit corresponding to the basic salary levels: Levels 1, 2, and 3 of Group II by industry and field as follows:

b) Enterprises shall determine their basic salary level based on their industry and field of production and business operations and planned production and business targets as follows:

- Enterprises operating in which industry or field shall apply the corresponding group industry or field. In cases where enterprises operate in multiple fields, they may choose based on their main production and business operations or the field with the highest revenue to select the applicable industry or field for the basic salary level.

- Enterprises meeting all three criteria of capital, revenue, and profit (after excluding the impact of objective factors as prescribed) of Levels 1, 2, and 3 shall apply the corresponding basic salary level of those levels. Enterprises not meeting all three criteria of capital, revenue, and profit of Levels 1, 2, and 3 shall apply the basic salary level of Level 4.

- Newly established or newly operational enterprises shall use the capital criteria to determine their basic salary level in the first year of establishment or operation as follows: if they meet the capital criteria of Levels 1, 2, and 3, they shall apply the corresponding basic salary level of those levels; if their capital is lower than the prescribed capital criteria for Level 3, they shall apply the basic salary level of Level 4.