Vietnam to give civil servants a 7.3 percent wage raise next year

By Hoang Phong    November 12, 2019 | 04:55 am PT
Vietnam to give civil servants a 7.3 percent wage raise next year
Residents perform administrative procedures at the People's Committee Office of District 12 in Ho Chi Minh City in June 2019. Photo by VnExpress/Quynh Tran.
Vietnam’s top legislative body, the National Assembly, Tuesday approved a government proposal to raise civil servants’ wages by 7.3 percent from next July.

The monthly base wages of civil servants and public employees, including teachers and doctors, will be increased from VND1.49 ($64) to VND1.6 million ($69), from July 1 2020. This will be the highest wage hike in the past eight years.

Public sector employees have complained for years that their earnings are too low. Local economists said at a recent conference that low wages have and will continue to foster corruption in the public sector.

Data from the General Statistics Office shows that at the end of 2017 there were more than 5.2 million people working in the public sector. The size of Vietnam’s public sector compared to the population is among the biggest in Southeast Asia, according to the World Bank.

In 2017, Prime Minister Nguyen Xuan Phuc ordered government offices to reduce staff numbers by between 1.5-2 percent every year over the next five years.

Vietnam's per capita income last year was $2,587.

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