Vietnam Introduces New Base Salary Framework Effective July 2026

Vietnam’s Ministry of Home Affairs has published Circular No. 13/2026/TT-BNV, outlining new calculations for salaries, allowances, and benefits under the country's revised base salary system. This regulation is set to take effect on July 1, 2026, impacting a wide array of public sector workers and others receiving state-linked compensation.

The new base salary will be established at 2,530,000 Vietnamese dong monthly. This revised structure will influence civil servants, public employees, officials in government and Party agencies, organizations of socio-political nature, and various workers compensated by the government.

According to this circular, monthly salaries will be computed by multiplying the appropriate salary coefficient by the new base figure. Additionally, several allowances directly related to the base salary will be adjusted based on the new amount, while percentage-based allowances will still follow existing calculations blend salary levels with other applicable benefits.

This regulation also extends to workers engaged in associations, international bodies, and NGOs in Vietnam. Those currently in educational programs, receiving medical care, participating in internships, or temporarily out of work will see their salary calculations modified under the new rules where relevant.

Special emphasis is placed on part-time workers in villages and community settings. The support fund from the state budget for these personnel will utilize the new base salary of 2.53 million VND monthly, promoting consistency among local administrations.

The circular elaborates on the recalibrations needed for social insurance contributions, salary benefits, allowances for People’s Council officials, and any salary difference coefficients from July 1. It is expected that government agencies will refresh payroll and benefit calculation systems before this date.

Officials highlighted that the reform aims to enhance transparency and create a uniform system for salary management throughout Vietnam’s public sector. This new directive will supersede Circular No. 07/2024/TT-BNV and is intended as the main reference for calculations under the modernized wage policy.

The Ministry reinforced that all deductions, social insurance contributions, and employee benefits tied to the base salary will automatically adjust come July 1, 2026. This reform is poised to impact millions of public sector employees nationwide as part of Vietnam’s ongoing initiatives to modernize its administrative and compensation systems.