Processing administrative procedures at the Gò Vấp District’s People's Committee in HCM City. — Photo www.hcmcpv.org.vn

HCM CITY — HCM City has saved more than VNĐ1 trillion (US$40.8 million) in administrative management costs through the implementation of a financial autonomy mechanism last year, the municipal People’s Committee said in a report.

The report revealed that 100 percent of state administrative units in Thủ Đức city and all districts, and government agencies are now adopting the autonomy and self-responsibility model regarding staff designation and administrative management spending.

All are implementing the mechanism of expenditure allocation, and the regulations on internal expenses and asset management.

According to the municipal People’s Committee, effective application of the above regulations helps reduce costs in all state administrative units.

By adopting practical measures to save budget and combat against waste, these organisations are spending their allocated money more wisely.

This saved amount is then used to increase salary for civil servants and public employees.

Most units have specified salary increase rates in accordance with work performance, which is obtained via democratic, transparent and public evaluations.

These have helped to boost the work spirit among staff members when they are carrying out their assigned tasks.

At the city level, the city saves VNĐ340 billion ($14 million), equal to nearly 26 per cent of the allocated budget to adopt financial autonomy. About VNĐ293 billion ($12 million) has been spent on bonus, fringe benefits, salary increases, and reserve funds.

At the district level, around VNĐ258 billion ($10.6 million) has been saved, equivalent to nearly 25 per cent of the allocated budget to adopt financial autonomy.

The saved amount is VNĐ404 billion ($16.6 million) at the ward and commune level, which is 27.7 percent of the allocated budget to adopt financial autonomy. — VNS