The base salary for public employees and public officials will increase by 7%, from the current VND1.39 million to VND1.49 million per month, starting from July 1 next year, news website Dan Tri reported.

An undefined person is counting banknotes in the file photo. The base salary for state employees and officials will increase from the current VND1.39 million to VND1.49 million, starting from July 1 next year

Minister of Finance Dinh Tien Dung announced the wage hike at the National Assembly’s Standing Committee session, held on October 16, as part of plans to allocate Central State budget estimates for 2019.

The new base salary will be valid for public officials, public employees working in agencies and for civil service providers with the Vietnam Communist Party or the Government, state-funded sociopolitical organizations and the armed forces.

The Government has designated some VND16.2 trillion for the upcoming wage reform. In addition, pensioners from the State sector will enjoy the same pay raise of 7% on the same date as the public employees and officials.

The Government, ministries, relevant agencies and local authorities have made significant efforts to balance the State budget expenditures with the hike in the base salary, ensuring welfare policies for people on the State payroll. Meanwhile, State budget collection continues to face obstacles, according to a report from the National Assembly’s Finance and Budget Committee.

SGT