On November 11, 392 out of 435 National Assembly (NA) deputies approved a resolution on State budget estimates for 2016 with 80.06% of the votes in favour in which the base salary for State officials and employees will increase as of May next year by 5% or VND60,000 compared to the previous level.
Accordingly, the base salary will be adjusted from VND1,150,000 VND to VND 1,210,000.
Pensions and preferential subsidies for people credited with serving the revolution still stand at 8% equal to 2015’s level.
Vice Chairman of the NA Committee on Social Affairs Bui Sy Loi attributed the wage increase of 5% amid current budgetary difficulties to the great salary reform efforts by the government.
“The government should come up with a feasible solution for keeping inflation in check to prevent negative impacts from the wage increase. It is also imperative to revamp the administrative apparatus and downsize the number of incapable staff so as to boost salary reform more effectively in line with the principle of labour distribution towards increasing labour productivity,” Loi said.
