Vietnam’s government has announced a 30 per cent increase in base salary for government employees from July 1 to VND2.34 million (US$92) per month. Minister of Home Affairs Pham Thi Thanh Tra said this is the highest increase ever, and meant to improve the lives of the employees. It should help increase productivity and efficiency, she told the media. The base salary, now VND1.8 million, is used as the basis to calculate salaries and allowances for officials, public servants, government workers, and the armed forces.
Speaking in the National Assembly on May 20, Deputy Prime Minister Le Minh Khai said the government had allocated VND680 trillion for the new salary payment by the end of 2023. Tra said: “According to the Ministry of Finance, the total cost of adjusting the basic salary by 30%, creating a 10% bonus fund, adjusting pensions and allowances for the period from 2024 to 2026 is VND913.3 trillion, and the government will ensure there are sufficient resources.” The base salary is multiplied by a coefficient depending on the grade of an employee to arrive at their salary.
