During a meeting with the Ministry of Home Affairs on September 22, Deputy Prime Minister Pham Thi Thanh Tra highlighted the importance of a new salary policy for the public sector. She stated that the policy should not only ensure a decent living for employees but also serve as a tool to attract and retain talented individuals in government roles.

Tra pointed out that the current salary system has significant discrepancies among different groups and needs to adhere to the principle of paying according to job positions. This reform is crucial as the existing salary structure, based on a base salary multiplied by a coefficient, has not been updated, and additional allowances have yet to be reorganized.

The Deputy Prime Minister stressed that the upcoming salary and social insurance policies must consider significant changes in the economy and labor market, including the restructuring of administrative bodies, local government operations, an aging population, job market fluctuations, and the emergence of new forms of labor. She emphasized the necessity for a flexible adjustment mechanism to respond to both immediate and long-term economic changes.

In recent years, the government has made several adjustments to the base salary and introduced performance-related bonuses for civil servants. However, these changes have been gradual and have not resulted in a comprehensive reform of the salary system.

The proposed salary and social insurance reform plan is expected to be submitted to the Politburo and the Party Central Committee by February 2027, with a report to the Central Executive Committee scheduled for March. The 2018 Resolution 27 aims to establish a salary table based on job positions and leadership roles, moving away from the current base salary and coefficient system.

Originally slated to start in July 2021, the reform was postponed due to the impact of COVID-19 and other challenges. The National Assembly has since decided to implement comprehensive reforms starting in July 2024. However, the critical elements of replacing the base salary system and reorganizing allowances remain unimplemented.

As the policy continues to be refined, the base salary is set to increase from 1.8 million VND to 2.34 million VND per month in July 2024, and further to 2.53 million VND in July 2026. Currently, the salaries for civil servants range from approximately 3.4 million to 25.3 million VND per month, while those for public employees range from 3.8 million to 20.2 million VND, not including allowances.