The subsidy policy for cadres, civil servants and public employees whose payrolls are reduced depends on the management and use of the payroll.

Regarding the subsidy policy for cadres and civil servants whose payrolls are downsized, lawyer Tran The Anh - Hanoi Lawyers Association said that the policy is prescribed in Decree 143. 2020/ND-CP, amending and supplementing a number of articles of Decree 108/2014/ND-CP on downsizing policy and Decree 113/2018/ND-CP.

What is downsizing?

According to the lawyer, "Payroll" used in this Decree is understood to include: Staff payroll, civil servant payroll, number of people working in public non-business units and contract workers authorized by competent authorities. assignment in accordance with the law.

"Downsizing of payroll" in the Decree, this is understood as the assessment, classification, and removal from the payroll of those who are redundant, do not meet job requirements, cannot continue to arrange other work arrangements. and settle regimes and policies for those subject to downsizing.

Regulations on management and use of cadres and civil servants subject to downsizing of staff

Clause 1, Article 1 of Decree 113/2018/ND-CP clearly states that the regulations on management and use of the number of cadres, civil servants and public employees have been simplified as follows:

Agencies, organizations and units are allowed to use up to 50% of their payroll, which have streamlined and settled the retirement age regime at the right age or severance as prescribed by law to recruit new civil servants. public employees and contract workers, ensuring the downsizing of the payroll in accordance with the Party's regulations and the law.

In case a ministry, sector or locality is allowed to establish a new organization or is assigned additional functions and tasks by a competent authority, the ministry, sector or locality shall balance itself in the total payroll assigned by the competent authority to ensure completion of the assigned task".

Accordingly, from the management and use of cadres, civil servants and public employees who are downsizing can be divided into 3 subjects: Retiring before age, quitting and moving to work in organizations without regular salary from the state budget.

Subsidies policy for cadres and civil servants subject to downsizing

Policy on reduction of payroll allowance for early retirement.

According to the lawyer, based on Clause 2, Article 1 of Decree 143 on downsizing the payroll policy, in addition to enjoying the retirement regime as prescribed by the law on social insurance, early retirees are also entitled to other benefits as follows

The pension rate is not deducted due to early retirement.

To receive 3 months' salary allowance for each year of early retirement compared to the minimum age prescribed in Clause 3, Article 169 of the Labor Code.

Receive a 5-month salary allowance for the first twenty years of work, with full social insurance contributions. From the twenty-first year onwards, for each working year with which social insurance premiums are paid, a subsidy of 1/2 (one-half) of the month's salary will be provided.

Payroll reduction allowance policy in case of immediate termination

The lawyer said that the payroll reduction subsidy policy for people who immediately quit their jobs is specified in Clause 4, Article 1 of Decree 143.

Accordingly, the people subject to downsizing specified in Article 6 of Decree 108/2014/ND-CP have the maximum age 2 years lower than the minimum retirement age specified in Clause 3, Article 169 of the Code. Employed and ineligible to enjoy the retirement policy before the age specified in Clause 1, Article 8 of this Decree or is 2 years younger than the retirement age specified in Clause 2, Article 169 of the Labor Code and not If they are eligible for early retirement policy specified in Clause 2, Article 8 of this Decree, if they quit their jobs immediately, they will be entitled to the following allowances:

Receive 3 months of current salary allowance to find a job.

Receive a subsidy of 1.5 months' salary for each working year with social insurance contributions.

Subsidies on downsizing the payroll in case of job transfer

The payroll reduction subsidy policy for people who move to work at organizations without regular salary from the state budget are entitled to the following allowances:

Receive 3 months of current salary allowance.

Receive a subsidy of 1/2 month's salary for each working year with social insurance contributions.

(According to Decree No. 108/2014/ND-CP dated November 20, 2014 of the Government.)