Workers at Honda Vietnam in Hà Nam Province. — VNA/VNS Photo

HÀ NỘI — The Ministry of Finance (MoF) has reported that by the end of 2021, the State budget had an unutilised surplus of nearly VNĐ263 trillion (US$10.76 billion) allocated for salary reform.

Specifically, in a report submitted to the National Assembly's Standing Committee on thrift and anti-wastefulness practice, finance minister Hồ Đức Phớc said that by the end of 2021, the unused salary reform funds from the central budget amounted to over VNĐ54.5 trillion. Of which, the amount in ministries and sectors was nearly VNĐ82 billion.

Localities also had a surplus budget for salary reform, totalling over VNĐ208.4 trillion.

MoF has also urged units to report the balance remaining at the end of 2022.

Currently, management and use of salary reform resources are regulated in Resolution 27 of the Party Central Committee and Resolution 23 of the National Assembly on the national financial plan and five-year public debt repayment and borrowing plan for the 2021-25 period.

In Resolution 27, the Party Central Committee requested the Government to study and allocate resources for a comprehensive salary policy reform, including salary scales, salary table, allowance coefficients. This is aimed at ensuring that salaries truly serve as a lever to increase labour productivity and efficiency.

The minister of finance affirmed that the ministry will review, compile, and provide a comprehensive report to the National Assembly on the unused salary policy reform funds for each ministry, sector, and locality as of December 31, 2022.

"The ministry will also propose a mechanism for managing and utilising the unused salary policy reform funds to ensure they are used for their intended purposes effectively and to prevent loss and waste," the report said.

Upon reviewing this content, the National Assembly's inspection agency noted that the salary reform roadmap still does not meet the requirements set out in Resolution 27.

The salaries of kindergarten and elementary school teachers remain low compared to the general income level.

The Ministry of Education and Training has proposed an expected 10 per cent increase in incentives for kindergarten teachers and a 5 per cent increase for elementary school teachers.

Therefore, the inspection agency has recommended that the Government soon issue this policy.

According to minister Phớc, MoF is developing the State budget framework for 2024 and a 3-year budget plan for the 2024-26 period, which includes proposing a roadmap for implementing salary reform in accordance with Resolution 27.

This will serve as the basis for utilising funds for salary reform, specifically identifying the amount allocated but not yet used, he said.

Previously, in the 5th session in June, the National Assembly instructed the Government to focus resources on implementing salary reform and report the roadmap for salary policy reform at the 6th session, scheduled for October.

At the regular Government meeting on September 9, Prime Minister Phạm Minh Chính requested the Ministry of Home Affairs to promptly finalise a proposal for the Politburo, the Party Central Committee, and the National Assembly regarding the roadmap for salary reform.

The Ministry of Home Affairs will soon organise a preliminary review of five years of implementing Resolution 27 of the central Government on reforming salary policies for officials, civil servants, public employees, armed forces and employees in enterprises.

Currently, the regional minimum wage rate applicable for employees working for enterprises in Region I is VNĐ4.68 million ($191) per month, in Region II is VNĐ4.16 million ($170) per month, in Region III is VNĐ3.64 million ($148) per month and in Region IV is VNĐ3.25 million ($133) per month.

This rate has increased by 6 per cent compared to before July 1, 2022.

A survey conducted by the Vietnam General Confederation of Labour in the first half of this year shows that the average income of workers only meets nearly 70 per cent of their expenses.

The expenditure has risen 19 per cent compared to 2022, mostly due to rising costs, specifically in electricity and water. — VNS