On October 25, 2016, the Ministry of Labor, War Invalids and Social Affairs issued the Circular No. 32/2016/TT-BLDTBXH guiding the management of employees and remunerations in deposit insurance of Vietnam. O
Within that, the adjustment and promotion of managerial personnel’s pay grade upon the re-ranking of Deposit Insurance of Vietnam or in other events shall be governed by Part 2, Circular No. 27/2016/TT-BLDTBXH dated September 01, 2016 by the Ministry of Labor – Invalids and Social affairs on guidelines for the delivery of remunerations to managerial personnel in single-member limited liability enterprises in which the Government holds 100% of the charter capital at the Circular No. 27/2016/TT-BLDTBXH.
The average salary level shall be planned according to the following base salary and its increasing coefficient in adherence to the total turnover minus total expenses if Deposit Insurance of Vietnam preserves and develops the state capital, the average labor output does not decline and the planned total turnover minus total expenses is higher than that attained in the immediately preceding year If the total turnover minus total expenses planned in the year is below VND 200 billion, H shall be no more than 0.5 times the base salary. If the total turnover minus total expenses planned in the year ranges from VND 200 billion to less than VND 500 billion, H shall be no more than 0.7 times the base salary. If the total turnover minus total expenses planned in the year is VND 500 billion or higher, H shall be no more than 1.0 times the base salary.
If the average labor output is lower than that attained in the immediately preceding year though Deposit Insurance of Vietnam preserves and grows the state capital while planning a higher total turnover minus total expenses than that attained in the immediately preceding year, the average salary level planned shall be reduced by 0.5% for every 1% inferiority of the average labor output planned to that attained in the immediately preceding year.
This Circular takes effect on December 10, 2016. Principles defined in this Circular come into force as of January 01, 2016.
