Headlines 05/07/2023 18:12 CH

Vietnam to increase pensions by 12,5% to 20,8% as of July 1, 2023 for 9 groups of beneficiaries

Trung Tài

On June 29, 2023, the Government of Vietnam promulgated Decree No. 42/2023/ND-CP on adjustments to pensions, social insurance allowances, and monthly allowances.

According to the Decree, pensions, social insurance allowances, and monthly allowances are increased by 12,5% to 20,8% as of July 1, 2023, for the following persons:

- Officials, workers, public employees, employees (including people who buy independent social insurance, retirees transferred from Nghe An farmer’s social insurance fund according to Decision No. 41/2009/QD-TTg) soldiers, people’s police officers, and persons performing cipher work that are currently receiving monthly pensions.

- Officers of communes, wards, and towns prescribed in Decree No. 92/2009/ND-CP Decree No. 34/2019/ND-CP Decree No. 121/2003/ND-CP and Decree No. 09/1998/ND-CP on amendments to Decree No. 50/CP dated July 26, 1995.

- Beneficiaries of monthly allowances for loss of working capacity as prescribed by laws; beneficiaries of monthly allowances according to Decision No. 91/2000/QD-TTg and Decision No. 613/QD-TTg and rubber workers receiving monthly allowances according to Decision No. 206-CP dated May 30, 1979.

- Officers of communes, wards, and towns that are currently receiving monthly allowances according to Decision No. 130-CP dated June 20, 1975 and Decision No. 111-HDBT dated October 13, 1981.

- Soldiers that are currently receiving monthly allowances according to Decision No. 142/2008/QD-TTg (amended by Decision No. 38/2010/QD-TTg).

- People’s police officers that are currently receiving monthly allowances according to Decision No. 53/2010/QD-TTg.

- Soldiers, people’s police officers, and persons performing cipher work receiving wages similar to soldiers and people’s police officers that are currently receiving monthly allowances according to Decision No. 62/2011/QD-TTg.

- Beneficiaries of monthly occupational disease or accident allowances.

- Beneficiaries of monthly death allowances before January 1, 1995.

Persons prescribed in Points a, b, c, d, dd, e, and g Clause 1 Article 1 of Decree No. 42/2023/ND-CP retired before January 1, 1995 that have their pensions, social insurance allowances, and monthly allowances reduced to below 3.000.000 VND per month after the adjustment.

Adjustments to pensions and social insurance allowances as of July 1, 2023

According to the Decree, from July 1, 2023, pensions, social insurance allowances, and monthly allowances will be:

- Increased by 12,5% compared to the amount of June 2023 (adjusted in Decree No. 108/2021/ND-CP) for persons prescribed in Clause 1 Article 1 of Decree No. 42/2023/ND-CP .

- Increased by 20,8% compared to the amount of June 2023 (was not adjusted in Decree No. 108/2021/ND-CP) for persons prescribed in Clause 1 Article 1 of Decree No. 42/2023/ND-CP .

From July 1, 2023, persons prescribed in Clause 2 Article 1 of Decree No. 42/2023/ND-CP will have their pensions, social insurance allowances, and monthly allowances:

- Increased by 300.000 VND per person per month for those who receive below 2.700.000 VND per person per month;

- Increased to 3.000.000 VND per person per month for those who receive from 2.700.000 VND per person per month to below 3.000.000 VND per person per month.

Decree No. 42/2023/ND-CP of the Government of Vietnam comes into force as of August 14, 2023; regulations prescribed in Decree No. 42/2023/ND-CP shall be implemented as of July 1, 2023.

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