Headlines 05/07/2018 16:53 CH

16 Decrees will come into force from July 01, 2018

Ngọc Duy

THƯ VIỆN PHÁP LUẬT introduces new regulations of 16 Decrees that will come into force from July 01, 2018.

1. Increasing officials’ salaries from July 01, 2018

On May 15, 2018, The Government promulgated Decree No. 72/2018/ND-CP on statutory pay rate for public officials, public employees and the armed force (hereinafter referred to as “officials”).

According to the Decree, from July 01, 2018, the statutory pay rate will increase from 1.300.000 million VND to 1.390.000 VND. 

The new rate will be used to calculate the salaries, allowances and other benefits for the following 9 groups:

- Officials from central echelon to district level prescribed in clause 1 and clause 2, Article 4 of Law on officials and public employees 2008. 

-  Officials at commune level prescribed in Clause 3 Article 4 of Law on officials and public employees 2008.

- Public employees of public sector entities prescribed in Law on Public Employees 2010.

- Contract employees who are paid in accordance with Decree No. 204/2004/ND-CP dated December 14, 2004.

- Employees on state regular payroll in state-funded associations according to Decree No. 45/2010/ND-CP dated April 21, 2010.

- Commissioned officers, professional soldiers, non-commissioned officers, soldiers and national defense workers and public employees, contract employees in the People's Army of Vietnam.

- Commissioned officers, non-commissioned officers on payroll, non-commissioned officers, police officers, public security workers and contract employees in the People's Police of Vietnam.

- Employees of cryptography organizations.

- Part-time employees of authorities in communes, hamlets or neighborhoods.

2. Increase retirement pensions and social insurance benefits to 6.92 %

This is significant information specified in the Decree 88/2018/ND-CP on adjustments of retirement pensions, social insurance benefits and monthly benefits.

From July 01, 2018, the retirement pensions, social insurance benefits and monthly benefits of June 2018 will be increased by 6.92 %. The following entities, inter alia, are entitled to this increase: 

- Public officials, public employees and workers; soldiers, people's police and cipher officer who are on monthly retirement pensions.

- Officers of commune authorities stipulated in Decree No. 92/2009/ND-CP dated October 22, 2009, Decree No. 121/2003/ND-CP dated October 21, 2003 and Decree No. 09/1998/ND-CP dated January 23, 1998 who are on monthly retirement pensions and benefits.

- Those who are receiving benefits for reduced work capacity as per the law; those who are on monthly benefits as prescribed in Decision No. 91/2000/QD-TTg dated August 4, 2000, Decision No. 613/QD-TTg dated May 6, 2010; rubber workers who are on monthly benefits.

- Soldiers who are receiving monthly benefits according to Decision No. 142/2008/QD-TTg dated October 27, 2008 and Decision No. 38/2010/QD-TTg dated May 6, 2010.

- Those who are receiving monthly occupational accident or disease benefits.

3. New regime for audit officials

This content is mentioned in Decree No. 66/2018/ND-CP on priority regime for public officials, public employees and workers in State Audit Office of Vietnam (hereinafter referred to as SAV)

 According to the Decree, the preferential regime is applied in accordance with Article 1, Resolution No. 325/2016/UBTVQH14 dated December 29, 2016.

This regime allows SAV to deduct 5% of the total amount discovered by SAV to reward their officials, employees and workers.

The amount of money discovered by SAV includes:

- The state budget revenue increase including tax, fees, charges and other revenues.

- The expenditures spent against regulations but already transferred to state budget. 

The expenditures used for rewards must not exceed 8% of the pay rate prescribed by law, including: scale of salaries, levels and positions; other allowances depending on the positions, expenditures exceeding the limit, and benefits given depending on the professions.

After spending the budget, the remained amount shall be used for investing in facilities and strengthening the auditing capability.

Decree No. 66/2018/ND-CP takes effect from fiscal year 2017.

4. The state takes charge to restore dignity of wrongfully convicted people

This is a significant content of Decree No. 68/2018/ND-CP on guiding the Law on State Compensation Liability dated May 15, 2018.

 According to the Decree, the procedures for providing dignity restoration will be completed as follows:

- The compensating authority must send a written notification of dignity restoration to the wrongfully convicted person.

- Within 10 days from the date on which the notification is received, the wrongfully convicted person must reply in writing to the compensating authority.

- If the wrongfully convicted person replies orally, the compensating authority must make a record bearing the sufferer's signature and fingerprint.

- If the wrongfully convicted person does not reply, the dignity restoration will be carried out when the wrongfully convicted person submits a written request.

5. Mandatory safety training regarding explosive precursors

On May 15, 2018, the Government promulgated the Decree No. 71/2018/ND-CP on elaborating the regulations on industrial explosives and explosive precursors of the Law on management and use of weapons, explosives and combat gears.

 According to the Decree, the person assigned to manage the warehouses of explosives precursors must obtain a certificate of professional training in safe techniques related to explosives precursors.

If that person already has a certificate of training in industrial explosive safety, he/she is not required to obtain the certificate of training in explosive precursor safety until the expiration of the former. 

6. Non-state firms allowed to research into and manufacture weapons

This is a notable content of Decree 79/2018/ND-CP on guiding the Law on management and use of weapons, explosives and combat gears.

According to the Decree, in addition to the enterprises affiliated to the Ministry of National Defense and Ministry of Public Security, other enterprises are now allowed to research into, manufacture and repair weapons according to the order of Ministry of National Defense and Ministry of Public Security if they:

-  Are Vietnamese organizations or enterprises established in accordance with law.

- Satisfy the conditions specified in clause 2, 3, 4, 5, 6 and 7, Article 7.
7. Regulations on exemption from or reduction in train ticket price, coming into force from July 01, 2018

Decree No. 65/2018/ND-CP on guiding the Law on Railway Transport 2017 and was promulgated on May 12, 2018.

The exemption from or reduction in train ticket price are applied to the following people:

- 90% discount for revolutionists before General Uprising in August 19, 1945 who are Heroic Mothers of Vietnam.

- 30% discount for wounded soldiers or persons who are on the same policy as wounded soldiers; and victims of toxic chemicals.

- Implement the law on persons with disabilities and elderly to those who are with exceptionally serious disabilities.

- The exemption and reduction in ticket price for kids vary according to regulations of each railway transport company (previously, all kids who are under 6 years old were exempted from buying tickets).

8. New regulations on benefits for security guards on trains

Decree No. 75/2018/ND-CP stipulates the policy on security guards on trains as follows:

- Security guards must be trained and have specialized skills suitable for their security guard profession.

- Security guards must be equipped in accordance with laws with the equipment, uniforms, stars, and badges stipulated in this Decree in order to carry out assigned tasks. 

- Train security guards who are injured or killed in performance of their duty might be entitled to the same benefits as war invalids and martyrs.

9.  06 Decrees on banking revoked

Decree No. 42/2018/ND-CP promulgated on March 12, 2018 revoking a number of Government’s Decrees on banking.

According to the Decree, 06 Decrees on banking that will be revoked include:

- Decree No. 14/CP dated March 02, 1993 provides policy on allowing production households to borrow capital to develop agriculture, forestry, aquaculture and rural economy.

- Decree No. 48/2001/ND-CP on organization and operation of the People’s credit funds.

- Decree No. 69/2005/ND-CP on amendments to Decree No. 48/2001/ND-CP.

- Decree No. 22/2006/ND-CP on organization and operation of foreign bank branches, Joint-venture banks, banks with 100% foreign capital, and representative offices of foreign credit institutions in Vietnam.

- Decree No. 59/2009/ND-CP on organization and operation of commercial banks.

- Decree No. 05/2010/ND-CP stipulating the application of the bankruptcy law to credit institutions.

10. Procedures for confirming foreign HS codes of goods

This is a new regulation in Decree No. 74/2018/ND-CP on amendments to Decree No. 132/2008/ND-CP.

The organizations and individuals who have the need to use foreign HS code (the applicant) must send 01 set of the following application documents directly to or via post office to the authority in charge of codes and barcodes (receiving authority):

- An application form for confirming foreign HS codes;

- A copy of a document proving that the applicant is permitted by the foreign party to use the hs codes such as an authorization letter or contract.

Within 20 days from the date on which the sufficient documents are received, the receiving authority must issue a confirmation of using foreign hs codes to the applicant. 

If the application documents are deemed insufficient, within 05 working days from the date on which the documents are received, the receiving authority must request the applicant to provide additional documents.

11. Appointing officials to help people with disabilities to access information

The Government promulgated Decree No. 13/2018/ND-CP on January 23, 2018 to provide guidance on the Law on access to information, in which there is some significant information including:

- Appointing officials from the information-providing agency to help people with disabilities who have difficulties in filling out or signing the information request form; difficulties in accessing information.

- The information about the daily, production and business activities of people with disabilities must be announced through mass media in appropriate forms with the aim to them.

- The regulatory agencies must establish their own portals and websites with basic functions to assist people with disabilities.

12. The State provides up to 90% subsidies on cost of construction of culverts and fortification of canals

This is a significant content in Decree No. 77/2018/ND-CP on supporting the development of small-scale or interfiled irrigation works and advanced and water-efficient irrigation technologies.

According to the Decree, the State provides a maximum of 70% subsidies on cost of construction of culverts and fortification of canals; 90 % for northern midland and mountainous regions, and central highlands.

The State also provides a maximum of 40% subsidies on purchase cost of machinery and equipment used for building electric bump stations in Mekong River Delta. 

The above supporting policy is exclusive of subsidies for land clearance.

13. Incentives for technology transferees

These incentives are specified in Decree No. 76/2018/ND-CP on guiding the Law on technology transfer.

The enterprise whose project is eligible for investment incentives and receives technology transfer from a science and technology organization will be entitled to various incentives, such as:

- Up to 2% subsidies on interest rates per year from the national technology innovation fund, science and technology development fund of departments, ministerial agencies and Governmental agencies, with the aim to transfer technology for the projects.

-  Preferential loans in accordance with the regulations stipulated by the funds and credit institutions which provide incentives for the projects requiring technology transfer.

- Funding when completing science and technology tasks or direct funding.    

14. Regulations on use of land reserved for rail transport

Decree No. 56/2018/ND-CP stipulates that the land within the safety perimeter of a railway work must be only used in the following cases:-

Temporarily gather materials, machinery and equipment for railway work construction, provided:

 Road users' vision is not obstructed.

 Railway work and rail transport safety are ensured,

Environmental hygiene and fire safety are ensured.

- Construct an essential work that serves defense, security and socio-economic development purposes within the restricted area of a railway tunnel in an urban area.

 (Only if such work cannot be built outside the safety perimeter of the railway tunnel in the urban area).

15. 10 activities that require a license to be performed within the perimeter of irrigation works

Decree No. 67/2018/ND-CP specifies 10 types of license required to be obtained for the activities that are performed within the perimeter of irrigation works:

- Executing new construction works.

- Setting up wharves, venues for gathering materials, fuels and vehicles.

- Drilling for geological survey purpose; exploring and extracting minerals and building materials, and extracting underground water.

- Discharging wastewater into irrigation works, except small-scale, toxic and radioactive wastewater.

- Growing perennial plants.

- Organizing tourist, sports, research, business or service activities.

- Operating inland waterway vessels and motorized vehicles, except motorbikes and non-motor inland waterway vessels.

- Aquaculture.

- Blasting other explosive activities.

- Executing underground construction works.

 Licenses must be granted to eligible entities in accordance with the procedures and laws and must comply with the irrigation planning which is approved by the competent authority.

16. General requirements for creating technical regulations

The Government promulgated Decree No. 78/2018/ND-CP on May 16, 2018 stipulating the requirements for creating technical regulations such as:

- The National Technical Regulations and Provincial Technical Regulations must ensure consistency and uniformity with the international agreements to which Vietnam is a signatory.

-  Priority will be given to development of technical regulations that can be adjusted according to groups of subjects that are similar in technical specifications and management requirements.

-  There must be management measures and limits of technical characteristics of products, goods, services, processes and environment that serve the management needs of the state to ensure safety, hygiene and good health.

- The contents of national technical regulations are quoted in other national technical regulations of other countries, national standards, international standards, region standards and foreign standards.

Decree No. 78 replaces Decree No. 127/2007/ND-CP.


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