The curtailing is part of the government’s target to whittle down state personnel by 10% by 2021.

Vietnam is on way to reshuffle the state apparatus and downsize the staff as part of efforts to boost administrative reforms and reduce state spending amid rising public debt. 

Different ministries and localities have actively carried out the reorganization to speed up the process required by the government. 

Over the past four years, as many as 40,500 state employees have been trimmed down, including 5,778 people in 2015; 11,900 in 2016; 12,600 in 2017, and 10,139 in 2018, according to Minister of Home Affairs Le Vinh Tan. 

In 2019, state bodies plan to cut down as much as 44,510 employees. 

Vietnam has planned to cut down 100,000 state employees between 2014 and 2020. The move is expected to cost VND8 trillion (US$345 million).

According to the Ministry of Finance, the government would save as much as VND20 trillion (US$869 million) or 0.7% in regular expenditures in 2018-2020 if the country succeeded in trimming 10% state personnel in the period.

So far, cumbersome administrative system has eaten up a large amount of money. Notably, regular expenditures account for 60% of the total state spending annually. 

Hanoitimes