Consolidated Document number 6660/VBHN-BLDTBXH guiding the management of labor, wages, and bonuses for employees working in state-owned sole member companies.

CIRCULAR

Guidelines for managing labor, wages, and bonuses for employees working in a state-owned limited liability company with 100% state capital contribution.

Circular No. 26/2016/TT-BLDTBXH dated September 1, 2016, issued by the Minister of Labor, Invalids, and Social Affairs, provides guidelines for managing labor, wages, and bonuses for employees working in a state-owned limited liability company with 100% state capital contribution, effective from October 15, 2016, amended and supplemented by:

Circular No. 06/2024/TT-BLDTBXH dated July 30, 2024, issued by the Minister of Labor, Invalids, and Social Affairs, amending and supplementing certain provisions of Circular No. 26/2016/TT-BLDTBXH dated September 1, 2016, issued by the Minister of Labor, Invalids, and Social Affairs, providing guidelines for managing labor, wages, and bonuses for employees working in a state-owned limited liability company with 100% state capital contribution, and Circular No. 27/2016/TT-BLDTBXH dated September 1, 2016, issued by the Minister of Labor, Invalids, and Social Affairs, providing guidelines for implementing wage, remuneration, and bonus systems for managers in a state-owned limited liability company with 100% state capital contribution, effective from September 15, 2024.

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

Pursuant to Decree No. 51/2016/NĐ-CP dated June 13, 2016, of the Government, stipulating management of labor, wages, and bonuses for employees in a state-owned limited liability company with 100% state capital contribution;

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

The Minister of Labor, Invalids, and Social Affairs issues this Circular to provide guidelines for managing labor, wages, and bonuses for employees in a state-owned limited liability company with 100% state capital contribution.[1].

Section 1. GENERAL PROVISIONS

Article 1. Scope of Regulation

Article 1. This Circular provides guidelines for managing labor, wages, and bonuses for employees working under labor contracts (excluding General Directors or Directors, Deputy General Directors or Deputy Directors, Chief Accountants working under labor contracts) in a state-owned limited liability company with 100% state capital contribution, as prescribed in Decree No. 51/2016/NĐ-CP dated June 13, 2016, of the Government, stipulating management of labor, wages, and bonuses for employees in a state-owned limited liability company with 100% state capital contribution (hereinafter referred to as Decree No. 51/2016/NĐ-CP).

Article 2. State-owned limited liability companies with 100% state capital contribution refer to those companies defined in Article 1 of Decree No. 51/2016/NĐ-CP (hereinafter referred to collectively as the company).

Article 2. Applicability

The application of this Circular shall be implemented according to the provisions of Article 2 of Decree No. 51/2016/NĐ-CP.

Section 2. LABOR MANAGEMENT

Article 3. Review and Organize Workforce Structure

Annually, the General Director (Director) shall organize a review of the organizational structure and workforce to report to the Chairman of the Board of Members or the Chairman of the Company:

1. Re-examine the organizational structure and management hierarchy to rearrange and adjust them to align with functions, tasks, and production and business requirements, ensuring efficiency, avoiding overlapping functions and tasks, and establishing connections between departments, teams, production workshops, business units, specialized departments, and direct management bodies, minimizing intermediate organizational levels.

2. Rearrange the workforce within each department, team, production workshop, business unit, specialized department, where management staff, technical, professional, and service staff are organized based on job positions or job titles, while directly producing and operating staff are arranged according to machinery and equipment processes or work procedures, determining staffing levels and assigning tasks accordingly.

3.[2] (Repealed)

Article 4. Labor Plan Development

1. The annual labor plan of the company shall be developed based on the organizational structure as stipulated in Article 3 of this Circular and requirements for workload, quality, production and business tasks, the labor utilization situation of the previous year, job positions or job titles, and labor norms. 2. The labor plan includes: the total number of workers needed to be utilized, the quantity and quality of newly recruited workers according to job titles and working positions; training and professional development plans for each type of worker.

3. Under conditions where the planned production and business workload and tasks do not increase, and the management units and production and business bases of the company do not increase compared to the implementation of the previous year, the average planned number of workers shall not exceed 5% compared to the actual average number of workers used in the previous year. The actual average number of workers used and the average planned number of workers shall be determined according to

Article 5. Reporting and Approving the Labor Plan ANNEX promulgated together with this Circular.

1. The General Director (Director) shall develop the labor plan and submit it for approval by the Board of Members or the Company Chairman. The Board of Members or the Company Chairman must report to the representative body of the owner for comments before approving the labor plan.

2. After approving the labor plan, the Chairman of the Board of Members or the Company Chairman must send the company's labor plan report to the representative body of the owner along with the planned salary fund (accompanied by data as provided

in this Circular) for inspection and supervision. For state-owned economic corporations, special-class State-owned Joint Stock Companies, Vietnam Air Traffic Management Corporation, Northern Vietnam Maritime Safety Assurance Corporation, Southern Vietnam Maritime Safety Assurance Corporation, and Vietnam Post and Telecommunications Corporation, they must also send it to the Ministry of Labor, Invalids, and Social Affairs for consolidation and overall supervision. Form 1 3. The General Director (Director) shall be responsible to the Board of Members or the Company Chairman, and the Board of Members or the Company Chairman shall be responsible to the representative body of the owner regarding the company's labor plan.

Article 6. Implementing the Labor Plan

1. Based on the approved labor plan, the General Director (Director) shall arrange and utilize labor; recruit and enter into employment contracts with newly recruited workers.

2. Recruitment and utilization of labor must ensure transparency and fairness in accordance with the provisions of the law, recruitment and utilization regulations, and the Charter of the company.

3. The General Director (Director) shall not recruit additional new workers without prior approval of the labor plan by the Chairman of the Board of Members or the Company Chairman and shall be responsible to the Board of Members or the Company Chairman for the effectiveness of the recruitment and utilization of labor.

Article 7. Evaluation of Labor Utilization Situation

1. Annually, the Board of Members or the Company Chairman shall direct the General Director (Director) to evaluate the labor utilization situation according to the approved labor plan.

2. The evaluation content must clearly analyze strengths, weaknesses, and limitations in recruitment and utilization of labor, subjective and objective causes, responsibilities of the General Director (Director), and propose measures to address weaknesses and limitations.

3. The labor utilization situation evaluation report shall be sent to the Board of Members or the Company Chairman and the representative body of the owner. For state-owned economic corporations specified in

Clause 2, Article 5 of this Circular, they must also send it to the Ministry of Labor, Invalids, and Social Affairs. ||| at the same time send to the Ministry of Labor - Invalids and Social Affairs.

Article 8. Handling of Responsibility in Recruitment and Employment of Labor

1. During the implementation process, if the employee does not meet job requirements or has no work to do, the General Director (Director) must take measures to rearrange labor or train, retrain the labor. In cases where the company has taken all possible measures but still cannot arrange work for employees, leading to termination of the employment contract, the company must fully settle all benefits and rights for the employee according to the provisions of labor laws.

2. For cases of recruiting labor exceeding the plan or not in accordance with the plan, resulting in employees having no work to do and leading to termination of the employment contract, depending on the assigned responsibility and consequences caused, the General Director (Director), member of the Board of Members, or Chairman of the company shall not be entitled to bonuses, salary increases, extended salary increase periods, or reduced salary levels.

3.[3] Evaluation of the implementation of the labor plan serves as the basis for assessing the level of completion of tasks by managers as stipulated in Decree No. 159/2020/ND-CP dated December 31, 2020 of the Government, amended and supplemented by Decree No. 69/2023/ND-CP dated September 14, 2023 of the Government amending and supplementing some articles of Decree No. 159/2020/ND-CP dated December 31, 2020 of the Government on management of persons holding positions and representatives of state capital at enterprises. The Government's Decree No. 69/2023/ND-CP dated September 14, 2023 amending and supplementing some articles of the Government's Decree No. 159/2020/ND-CP dated December 31, 2020 on management of persons holding positions and representatives of state capital at enterprises.

Section 3. PAY SCALE, PAYROLL, DETERMINATION OF THE PLANNED PAYROLL FUND, TEMPORARY PAYROLL FUND ADVANCE [4]

Article 9a: Pay Scale, Payroll, Allowance [5]

1. Based on production organization and labor organization, the company reviews and decides to continue maintaining or modifying, supplementing or building and issuing new pay scales, payrolls, allowances (with applicable standards attached) ensuring the provisions of Clause 2 of this Article as the basis for grading salaries, paying salaries, and implementing regulations for employees according to labor laws.

2. The levels of salary in the pay scale, payroll, and allowance are decided by the company, ensuring that the payroll fund determined based on the total annual salary of all employees calculated according to the levels of salary in the pay scale, payroll, and allowance of the company does not exceed the planned payroll fund of employees as stipulated in this Circular.

3. When modifying, supplementing, or building and issuing new pay scales, payrolls, and allowances, the company must seek opinions from the representative organizations of employees at the workplace, organize dialogue at the workplace according to the Labor Code and guiding documents, report to the agency representing the owner for comments, and publicly announce within the company before implementation.

Article 9. Average Planned Salary Level

Based on the average actual salary level of the previous year and production and business targets, the company determines the average planned salary level (monthly) to calculate the planned payroll fund linked to labor productivity and planned profit compared to the actual performance of the previous year as follows:

1. If the company has an average labor productivity higher than the previous year's actual performance, the average planned salary level is determined as follows:

Where:

- TL_bqkh: Average planned wage level.

- TL_bqthnt: The average actual salary level of the previous year, determined based on the actual payroll divided by the actual average number of employees used in the previous year according to the guidance at ANNEX promulgated together with this Circular.

- W_kh: Planned average labor productivity; W_thnt: Actual average labor productivity of the previous year calculated according to the guidance at ANNEX promulgated together with this Circular.

- Central agencies of political-social organizations;_tlns: The wage increase coefficient according to the planned average labor productivity increase compared to the previous year's actual performance, decided by the company linked to planned profit: If the planned profit is higher than the previous year's actual profit, H_tlns shall not exceed 1.0; If the planned profit equals the previous year's actual profit, H_tlns shall not exceed 0.8; If the planned profit is lower than the previous year's actual profit, H_tlns shall not exceed 0.5.

The planned profit and actual profit of the previous year are profits after determining the salaries of the Board of Members or Chairman, Head of Supervisory Board, Supervisor, General Director (Director), Deputy General Director (Deputy Director), Chief Accountant.

2. If the company has an average labor productivity equal to the previous year's actual performance, the average planned salary level is determined as follows:

a) If the planned profit is higher than the previous year's actual performance, the average planned salary level is determined according to the following formula:

Where:

- TL_bqkh : Average planned wage level.

- TL_bqthnt: The average actual salary level of the previous year.

- TL_ln: Additional salary amount according to profit, determined according to the following formula:

"5. The pre-tax weighted average cost of capital i (%) is determined according to the formula below:_kh : Planned profit; P_thnt: Actual profit of the previous year.

b) If the planned profit equals the previous year's actual performance, the average planned salary level is determined by the average actual salary level of the previous year.

c) If the planned profit is lower than the previous year's actual performance, the average planned salary level is determined according to the following formula:

Where:

- TL_bqkh: Average planned wage level.

- TL_bqthnt: The average actual salary level of the previous year.

- TL_ln: Salary reduction amount according to profit, determined according to the formula:

"5. The pre-tax weighted average cost of capital i (%) is determined according to the formula below:_kh: Planned profit; P_thnt: Actual profit of the previous year.

3. If the company has an average labor productivity lower than the previous year's actual performance, the average planned salary level is determined as follows:

a) If the planned profit is higher than the previous year's actual performance, the average planned salary level is determined according to the following formula:

Where:

- TL_bqkh: Average planned wage level.

- TL_bqthnt: The average actual salary level of the previous year.

- TL_ns: Salary reduction amount according to average labor productivity, determined according to the formula:

- Electronic Information Portal_kh: Planned average labor productivity; W_thnt: Previous year's actual average labor productivity.

- TL_ln: Additional salary amount according to profit, calculated according to formula (3).

b) If the planned profit equals the previous year's actual performance, the average planned salary level is determined by subtracting the salary reduction amount according to average labor productivity (TL_ns) calculated according to formula (7) from the previous year's average actual salary level.

c) If the planned profit is lower than the previous year's actual performance, the average planned salary level is determined according to the following formula:

Where:

- TL_bqkh: Average planned wage level.

- TL_bqthnt: The average actual salary level of the previous year.

- TL_ns: Salary reduction amount according to average labor productivity, calculated according to formula (7).

- TL_ln: Salary reduction amount according to profit, calculated according to formula (5).

4.[6] For companies with losses or without profits (after excluding objective factors if any), the average planned salary level shall be calculated based on the average salary level stipulated in the labor contract (including the salary level, salary allowances, and other additional amounts recorded in the labor contract as specified in point a, sub-item b1 point b and sub-item c1 point c clause 5 Article 3 Circular No. 10/2020/TT-BLDTBXH dated November 12, 2020 of the Minister of Labor, Invalids and Social Affairs detailing and guiding the implementation of certain provisions of the Labor Code regarding the content of the labor contract, collective bargaining council, and occupations and jobs that adversely affect reproductive functions and child-rearing.

5. For companies with profits (after excluding objective factors if any), after determining salaries according to Clause 1, Clause 2, and Clause 3 of this Article, if the average planned salary level is lower than the average salary level stipulated in the labor contract as specified in Clause 4 of this Article, then the average planned salary level shall be calculated based on the average salary level stipulated in the labor contract. In cases where the average labor productivity and planned profit are higher than those achieved in the immediately preceding year, but the average planned salary level is lower than the average salary level stipulated in the labor contract, the average planned salary level shall be calculated based on the average salary level stipulated in the labor contract and adjusted according to the increase in average labor productivity and planned profit compared to the achievements of the immediately preceding year.

6. For companies operating not for profit objectives, the profit target can be replaced by production volume, service volume, or planned tasks to determine the average planned salary level. The average planned salary level shall be determined based on the average actual salary level of the immediately preceding year and adjusted (increased or decreased) according to the increase or decrease in average labor productivity calculated based on production volume, service volume, or planned tasks compared to the achievements of the immediately preceding year.

7. For companies reducing losses compared to the achievements of the immediately preceding year or newly established companies lacking sufficient criteria for comparison to determine salaries, the average salary level shall be determined based on the degree of loss reduction or production and business plans, ensuring overall proportionality and reporting to the owner's representative body for review before making a decision.

Article 10. Planned Salary Fund

1. The planned salary fund for workers shall be determined according to the following formula:

Where:

- V (VND/year): is the total investment capital allocated annually for the usable area of social housing for rent, ensuring the preservation of capital, calculated according to the following formula:_kh: Planned Salary Fund.

- TL_bqkh: Average planned salary level determined in accordance with the provisions of Article 9 of this Circular.

-_khbq: Average planned number of workers, determined according to ANNEX promulgated together with this Circular.

- 12: Number of months in a year, for newly established companies, it is calculated based on the number of months the company operates.

- V (VND/year): is the total investment capital allocated annually for the usable area of social housing for rent, ensuring the preservation of capital, calculated according to the following formula:_đt: Difference in salary for full-time staff of mass organizations paid by mass organizations, calculated based on the average planned number of full-time staff of mass organizations and the difference between the average salary level of full-time staff of mass organizations at the company and the average salary level paid by mass organizations. The average salary level of full-time staff of mass organizations at the company is determined based on the average salary level used as the basis for determining the salary difference of the immediately preceding year for full-time staff of mass organizations according to state regulations and adjusted according to the average labor productivity and planned profit compared to the achievements of the immediately preceding year as specified in Article 9 of this Circular.

2. After determining (or having decided) the planned salary fund according to Clause 1 of this Article, in cases where the company adjusts its production and business plan, it must review and adjust the average planned salary level and the planned salary fund to ensure compliance with the conditions specified in Article 9 of this Circular.

Article 11. Objective factors for determining wages

1.[7] The objective factors affecting labor productivity and company profits to be excluded when determining employee wages are specified in point a and point b, Clause 3, Article 5 of Decree No. 51/2016/ND-CP, which has been amended and supplemented by Clause 2, Article 1 of Decree No. 21/2024/ND-CP dated February 23, 2024, of the Government amending and supplementing certain provisions of Decree No. 51/2016/ND-CP dated June 13, 2016, of the Government on labor management, wages, and bonuses for employees working in state-owned joint stock companies with 100% state capital, and Decree No. 52/2016/ND-CP dated June 13, 2016, of the Government on wages, remuneration, and bonuses for managers of state-owned joint stock companies with 100% state capital, and point c, Clause 3, Article 5 of Decree No. 51/2016/ND-CP.

2. When determining the average wage level and planned wage fund, if there are objective factors affecting increases or decreases in labor productivity and profits, the company calculates and quantifies these factors to reduce the portion of objective factors that increase labor productivity and profits, or to add the portion of objective factors that decrease labor productivity and profits.

Article 12. Planned Wage Fund for Certain Special Cases

1. For companies implementing public goods products and services ordered, assigned plans, or tendered by the State, the planned wage fund corresponding to the volume of public goods products and services is determined based on the volume of public goods products and services ordered, assigned plans, or contracts.

2. For companies producing and trading products and services subject to production and business quotas set by the State, leading to planned labor productivity not increasing or increasing less than the forecast consumer price index for the year according to the Resolution of the National Assembly on the annual socio-economic development plan, the maximum additional amount added to the planned average wage level shall not exceed the increase in the forecast consumer price index for the year according to the Resolution of the National Assembly.

Article 13. Advance Payment of Wages, Unit Price of Wages

1. Based on the production and business plan, the company decides on the advance payment of wages, but it shall not exceed 85% of the planned wage fund to pay monthly to employees.

2. Depending on actual needs, the company determines the unit price of wages based on total revenue, total revenue minus total costs excluding wages, profit, units of product, or other production and business efficiency indicators suitable for the nature of operations to manage the company's production and business activities.

Section 4. DETERMINATION OF ACTUAL WAGE FUND, DISTRIBUTION OF WAGES AND BONUSES

Article 14. Actual Wage Fund

1. The actual wage fund of employees is determined according to the following formula:

Where:

- V (VND/year): is the total investment capital allocated annually for the usable area of social housing for rent, ensuring the preservation of capital, calculated according to the following formula:_the: Actual salary fund.

- TL_bqthNumber of actual average employees used, guided by Article 9 of this Circular.

-_{Average actual wage level: Determined based on the planned average wage level linked to the increase or decrease in average labor productivity and actual profit compared to the plan, following the principle of determining the planned average wage level based on the actual average wage level of the previous year linked to the increase or decrease in average labor productivity and planned profit compared to the actual profit of the previous year as stipulated in}issued together with this Circular, linked to the number of planned employees approved by the Board of Members or the General Director, ensuring that under conditions where the volume of work and business tasks implemented do not increase and the number of management units and business bases of the company do not increase compared to the plan, the number of actual average employees used to calculate the wage fund does not exceed the number of planned average employees. ANNEX Wage difference of dedicated staff members paid by the organization, determined according to

- 12: Number of months in a year, for newly established companies, it is calculated based on the number of months the company operates.

- V (VND/year): is the total investment capital allocated annually for the usable area of social housing for rent, ensuring the preservation of capital, calculated according to the following formula:_đtFor companies operating at a loss or without profit (after excluding objective factors if any), the actual wage fund is calculated based on the average wage level in the labor contract, plus wages for holidays, Tet holidays, paid leave days (if not yet included), and additional wages for night shifts and overtime work as prescribed by the Labor Code. Article 10 of this Circular.

2. The company must reassess the implementation of objective factors affecting actual labor productivity and profit compared to the plan to exclude them when determining the actual wage fund according to Clause 1 of this Article. For companies producing and trading products and services subject to production and business quotas, they must also determine the actual average wage level based on the difference between the actual increase in the consumer price index for the year and the forecast increase in the consumer price index.

3. Based on the actual wage fund and the advance wage fund already paid to employees, the company determines the remaining wage fund to be enjoyed. In cases where the company has advanced more than the actual wage fund, the excess wage advance must be repaid from the wage fund of the following year.

3. Based on the actual wage fund and the advance wage fund for employees, the company determines the remaining wage fund to be enjoyed. In cases where the company has advanced more than the actual wage fund, it must repay the excess advance wages from the wage fund of the following consecutive year.

Article 15. Distribution of Salary Fund

1. Based on the actual salary fund, the company shall establish a salary reserve fund for the following consecutive year to ensure uninterrupted salary payments. The annual reserve level shall be decided by the General Director (Director) after consulting with the Trade Union Executive Board of the company, but it must not exceed 17% of the actual salary fund as stipulated at Article 14 of this Circular.

For companies engaged in production and business activities in agriculture, forestry, industrial crops, aquaculture, fishing, salt industry, the annual reserve fund must not exceed 20% of the actual salary fund.

2. The company shall establish a salary system based on job positions and titles, ensuring compliance with legal regulations, democracy, fairness, transparency, and linking salaries to productivity, quality, and business efficiency, providing appropriate compensation (without a maximum limit) for individuals with talent, professional expertise, high labor productivity, and significant contributions to the company. When establishing the salary system, the participation of the Trade Union Executive Board and employees is required.

3. Based on the actual salary fund and the salary system, the company shall pay salaries to employees. The company may not use the salary fund of employees to pay members of the Board of Members or the Chairman of the company, Head of the Supervisory Board, Supervisors, General Director or Director, Deputy General Director or Deputy Director, Chief Accountant, nor may it use the salary fund of employees for other purposes.

Article 16. Bonus Fund and Distribution of Bonuses

1. The annual bonus fund from the incentive and welfare fund of the company shall be established according to the Government's regulations on state capital investment in enterprises and financial management for state-owned enterprises holding 100% of the charter capital, and the guidelines of the Ministry of Finance.

2. The company shall establish a bonus system in accordance with legal regulations, ensuring democracy, transparency, and linking bonuses to productivity, quality, and business efficiency, encouraging individuals with talent, professional expertise, high labor productivity, and significant contributions to the company. When establishing the bonus system, the participation of the Trade Union Executive Board and employees is required.

3. Based on the bonus fund and the bonus system, the company shall implement bonuses for employees.

Section 5. RESPONSIBILITY FOR IMPLEMENTATION

Article 17. Responsibilities of the General Director (Director)

1. Review or develop new labor norms, labor plans, assess labor utilization situations; establish and promulgate recruitment and labor usage regulations and organize labor recruitment according to regulations.

2. In the first quarter of each year, determine the planned salary fund, the actual salary fund of the previous consecutive year, and compile statistics as to form number 2 attached to this Circular, report to the Board of Members or the Chairman of the company for approval.

3. Organize the development or review of job positions, work tasks, salary scales, pay tables, allowances, salaries based on job positions and work tasks, position standards, work standards, salary increase regulations, salary payment regulations, and bonus regulations of the company.

4. Advance salary payments, decide on the establishment of unit price for salaries, levels of salary reserve funds; implement salary and bonus payments to employees according to the company's salary payment regulations and bonus regulations.

5. Regularly report to the Board of Members or the Chairman of the company on labor conditions, salaries, and bonuses; provide complete reports, documents, and data on labor, salaries, and bonuses as requested by the Head of the Supervisory Board and Supervisors.

Article 18. Responsibilities of the Board of Members or the Chairman of the company

1. In the first quarter of each year, review and submit for approval the production and business plan; approve labor norms, labor plans, planned salary fund, and actual salary fund of the previous year according to the provisions of this Circular.

2. Report to the agency representing the owner, and at the same time send to the Inspector the labor norms, labor plans, planned salary fund, and actual salary fund of the previous year according to the issuance accompanying this Circular within no more than ten days from the date of approval for inspection and supervision. to form number 2 issued along with this Circular no later than 10 days from the date of approval for inspection and supervision.

For State-owned Economic Groups and State Capital Corporations specified in they must also send it to the Ministry of Labor, Invalids, and Social Affairs., when reporting to the agency representing the owner, simultaneously send to the Ministry of Labor, Invalids and Social Affairs for general monitoring and supervision.

3. Direct the General Director (Director) to improve organizational structure and personnel working on labor and salary matters to implement management contents related to labor, salary, and bonuses as prescribed by the Government and stipulated in this Circular.

4. Publicize the total number of employees, salary fund, bonus fund, salary levels, and average income of employees of the previous year on the company's electronic information website according to the law, and report to the agency representing the owner.

5. Provide relevant documents and reports on the implementation of salary and bonus systems upon request of the Head of the Supervisory Board, Inspector; review contents according to recommendations of the Head of the Supervisory Board, Inspector (if any) to direct the General Director (Director) to amend and supplement in accordance with regulations.

Article 19. Responsibilities of the Head of the Supervisory Board, Inspector

1. Inspect, supervise, and periodically report to the agency representing the owner on the implementation by the Board of Members or the Chairman of the company, the General Director, Director in managing labor, salary, and bonuses as prescribed by the Government and stipulated in this Circular.

2. Propose the Board of Members or the Chairman of the company to direct amendments and adjustments if discovering non-compliance during reviews and inspections. If the Board of Members or the Chairman of the company does not implement, report to the agency representing the owner for timely handling.

3. Review the determination of the salary fund to report to the agency representing the owner within fifteen days from receiving the report of the Board of Members or the Chairman of the company; bear responsibility for the accuracy and honesty of the review report.

Article 20. Responsibilities of the agency representing the owner

1. Organize and guide the implementation of labor, salary, and bonus policies as stipulated in this Circular for companies assigned to represent the owner.

2. Receive, monitor, and inspect reports from the Board of Members or the Chairman of the company, Inspector on labor norms, labor plans, planned salary fund, and actual salary fund of the previous year, and provide opinions on external factors affecting productivity and profit (if any).

3. If discovering non-compliance, issue a written request for the Board of Members or the Chairman of the company to supplement or adjust within thirty days from receipt of the report.

4. Depending on the degree of violation, decide on disciplinary measures such as no salary increase, extension of salary grade promotion period, reduction of salary, bonus, remuneration, demotion, reprimand, warning, dismissal, or termination of employment for the Chairman of the Board of Members or the Chairman of the company according to the law.

5. Chair and coordinate with the Ministry of Labor, Invalids and Social Affairs to inspect and supervise salaries of the parent company of State-owned Economic Groups and State Capital Corporations specified in they must also send it to the Ministry of Labor, Invalids, and Social Affairs..

6. Regularly organize inspections and supervision annually and bear responsibility before the Government and the Prime Minister regarding the implementation of labor policies, wages of the company which it represents as the owner.

6. Regularly annually organize inspections and supervision and be responsible before the Government, Prime Minister regarding the implementation of labor and salary policies of the company under its ownership. 7. By no later than May each year, compile and send to the Ministry of Labor, Invalids and Social Affairs the situation of labor, salary, and bonus implementation of the previous year and the construction of the planned salary fund of companies under its management according to promulgated together with this Circular.

Article 21. Responsibilities of the Ministry of Labor, Invalids and Social Affairs

Form No. 3

1. Perform tasks related to the rights and obligations of the owner towards a single-member limited liability company held 100% by the State according to the assignment of the Government. they must also send it to the Ministry of Labor, Invalids, and Social Affairs..

2. Coordinate with the agency representing the owner to supervise salaries, remuneration, and bonuses of employees in the parent company of State-owned Economic Groups and State Capital Corporations specified in

3. Organize audits and inspections of the implementation of labor, salary, and bonus policies of companies; during the process of receiving reports, auditing, inspecting, and supervising, if discovering non-compliance in determining the salary fund, provide opinions for the agency representing the owner to direct the company to adjust or rectify according to regulations.

Section 6. TRANSITIONAL PROVISIONS[8]

Article 22. Effectiveness

1. This Circular takes effect from October 15, 2016. The provisions set forth in this Circular shall be applied from January 1, 2016.

2. Circular No. 18/2013/TT-BLDTBXH dated September 9, 2013 of the Ministry of Labor, War Invalids and Social Affairs guiding the implementation of labor management, salary, and bonus for employees in state-owned limited liability companies shall cease to be effective from the date this Circular takes effect.

3. For companies that have approved the annual salary fund plan for 2016 before the date this Circular takes effect, they must review the determination of the annual salary fund plan for 2016 as the basis for determining the actual salary fund for 2016 according to the provisions of this Circular.

4. Companies implement the maximum amount of midday meal allowance for employees not exceeding 730,000 VND/person/month. The implementation of the midday meal system shall follow the guidance provided in Circular No. 22/2008/TT-BLDTBXH dated October 15, 2008 of the Ministry of Labor, War Invalids and Social Affairs on implementing the midday meal system in state-owned enterprises. of the Ministry of Labor - Invalids and Social Affairs guiding the midday meal system in state-owned companies in 2008.

5. The Military Post and Telecommunications Corporation continues to pilot the management of salaries for employees according to the regulations of the Government.

Article 23. Responsibility for Implementation

1. The Minister, Heads of Ministries equivalent to Ministries, Heads of Government Agencies, Chairmen of Provincial People's Committees directly under the Central Government are responsible for directing, urging, and inspecting companies under their management to comply with the provisions of this Circular.

2. Members of the Board of Directors or the Chairman of the parent company of the company at Article 1 of this Circularshall organize the management of labor, salaries, and bonuses for employees working in companies held 100% by the parent company based on the content of labor management, salaries, and bonuses stipulated in this Circular.

3. Political organizations and political-social organizations shall consider and decide on the application of the provisions of this Circular for employees working in companies held 100% by these organizations.

In the process of implementation, if there are difficulties, agencies, organizations, and companies are requested to send their opinions to the Ministry of Labor, War Invalids and Social Affairs (through the Department of Labor Relations and Wages) for consideration and revision./.

ANNEX

DETERMINATION OF THE AVERAGE NUMBER OF LABORERS AND THE AVERAGE LABOR PRODUCTIVITY
(Issued together with CircularNo. 26/2016/TT-BLDTBXH dated September 1, 2016 of the Ministry of Labor, War Invalids and Social Affairs)

1. Determination of the average number of laborers

The actual average number of laborers employed and the planned average number of laborers are determined as follows:

a) The average number of laborers includes all laborers working under labor contracts entitled to salaries from the salary fund as prescribed in this Circular. It does not include company managers and specialized staff paid by social organizations.

b) The average monthly number of laborers is calculated using the following formula:

Where:

L_{international}: Average number of laborers in month i of the year.

Xj: Number of laborers on day j of the month, calculated based on the number of working laborers and those on leave due to illness, maternity, child illness, work-related accidents, annual leave, study leave, personal leave with pay, as recorded in the company's attendance sheet. For holidays, the actual number of working laborers on the previous working day is taken, if the previous day was also a holiday, then the next non-holiday day is taken. with holidays, the number of actual workers working according to the company's attendance sheet shall be taken. : Total number of laborers in the month.

n: Number of days in the month's calendar (regardless of whether the company operates all days or not);

c) The average annual number of laborers is calculated using the following formula:

: Average annual number of laborers.

Where:

L_bqli: Average number of laborers in month i of the year.

i: Integer, positive number indicating month i of the year, from 1 to 12.

: Total of the average monthly number of laborers in the year.

t: T

months in the year. For newlyNo. establishedNo.companies, the number ofNo. operational

months in the year is calculated based on the actual number of operational months in the year.

For companies with an average annual number of laborers as a decimal, rounding off is applied according to mathematical principles, if the decimal part is above 0.5 it is rounded up to 1; for the average monthly number of laborers with a decimal, it retains two digits after the decimal point without rounding.

2. Determination of the average labor productivity

The average labor productivity is calculated annually and based on total revenue minus total costs excluding wages or total products (including converted products) sold, using the following formula:

Where:

- Electronic Information Portal_kha) Planned average labor productivity is calculated using the following formula:

: Planned average labor productivity._khΣT

: Planned total revenue._khΣ C

d.1. Amount of taxable income in Vietnam:_{: Planned total costs (excluding wages).}spkh

L_bqkh: Provincial People's Committees set specific pricesNo. : Planned total products (including converted products) sold.

Average planned number of laborers, calculated according to Clause 1 of the Appendix.

Where:

- Electronic Information Portal_theb) Actual average labor productivity in the year (or the preceding year) is calculated using the following formula:

: Planned average labor productivity._the: Actual average labor productivity in the year (or the preceding year).

: Planned total revenue._the: Actual total revenue in the year (or the preceding year).

d.1. Amount of taxable income in Vietnam:_{: Actual total costs excluding wages in the year (or the preceding year).}spth

L_bqth: : Actual total products (including converted products) sold in the year (or the preceding year).

Actual number of laborers used in the year (or the preceding year), calculated according to Clause 1 of the Appendix., amended and supplemented by Decree No. 109/2025/NĐ-CP and Decree No. 193/2025/NĐ-CPThe revenue, total expenses shall be calculated in accordance with the Government's regulations on state capital investment in enterprises and financial management for enterprises wholly owned by the State, and the guidance of the Ministry of Finance. Specifically, for the State Capital Investment Corporation, during the period when the total expense target is determined based on the original capital value received at enterprises where the Corporation implements capital sales according to Article 31 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, the total expense target serving as the basis for determining labor productivity to calculate wages under this Circular shall be determined based on the capital value received at enterprises where the Corporation implements capital sales, re-determined in accordance with Article 8 of Decree No. 151/2013/NĐ-CP dated November 1, 2013 of the Government.

FORM 1

Name of the representative body of the owner …………………………

The Joint Stock Company with a Single Member …….……..

LABOR USE SITUATION REPORT OF THE PREVIOUS YEAR AND PLAN FOR THE CURRENT YEAR
(Annexed to Circular No. 26/2016/TT-BLDTBXH dated September 1, 2016 of the Ministry of Labor - Invalid and Social Affairs)

Unit of measurement: Person

REPORT ON THE DETERMINATION OF THE WAGE FUND IMPLEMENTED IN THE PREVIOUS YEAR
AND PLAN FOR THE CURRENT YEAR...
(Annexed to Circular No. 26/2016/TT-BLDTBXH dated September 1, 2016 of the Ministry of Labor - Invalid and Social Affairs)

) specify clearly the labor productivity calculated based on the total revenue minus total expenses (excluding wages) or based on total products sold.1Name, stampof the Government stipulating functions, tasks, powers, and organizational structure of the Ministry of Home AffairsForm No. 3"b) In addition to the lists of public services issued according to the provisions of Clause 2, Article 4 of this Decree, specialized agencies under provincial People's Committees shall report to the provincial People's Committee for decision-making on amending, supplementing, or issuing the list of public services funded by the state budget within their jurisdiction and consistent with the local budget capacity within the approved budget by the Provincial People's Assembly, and send it to the Ministry of Finance and relevant ministries and sectors for supervision during implementation."REPORT ON THE IMPLEMENTATION OF LABOR, WAGES, AND BONUSES OF WORKERS IN THE PREVIOUS YEAR AND PLAN FOR THE CURRENT YEAR... construction costs; (Annexed to Circular No. 26/2016/TT-BLDTBXH dated September 1, 2016 of the Ministry of Labor - Invalid and Social Affairs)"b) In addition to the lists of public services issued according to the provisions of Clause 2, Article 4 of this Decree, specialized agencies under provincial People's Committees shall report to the provincial People's Committee for decision-making on amending, supplementing, or issuing the list of public services funded by the state budget within their jurisdiction and consistent with the local budget capacity within the approved budget by the Provincial People's Assembly, and send it to the Ministry of Finance and relevant ministries and sectors for supervision during implementation."Company namerime Minister cBusiness production targets

Average wage level according to labor contracts (VND/month)

Name of the representative body of the owner ………………………

Planned average wage level (VND/month)
Wage fund (VND)