Decree No. 65/2011/ND-CP dated July 29, 2011 of the Government on the pilot implementation of salary management for Parent company – Viettel Group in the 2011 – 2013 period

THE GOVERNMENT

Decree No. 65/2011/ND-CP dated July 29, 2011 of the Government on the pilot implementation of salary management for Parent company – Viettel Group in the 2011 – 2013 period

Pursuant to the Law on Organization of the Government dated December 25, 2001;

Pursuant to the Labor Code dated June 23, 1994; Law on amending, supplementing some articles of the Labor Code dated April 02, 2002; Law on amending  and supplementing some articles of the Labor Code dated June 29, 2006;

Pursuant to the Law on Enterprise dated November 29, 2005;

At the proposal of the Minister of Labor, War Invalids and Social Affairs and Minister of National Defense,

DECREES:

Article 1. Scope of regulation

This Decree regulates pilot implementation of salary management for Parent company – Viettel Group (hereafter called Viettel Group) in the 2011 – 2013 period.

Article 2. Subjects of application

1. General Director, Deputy General Director, Chief Accountant and Auditors

2. Military officers, professional servicemen, military officers and labors who are working in accordance with labor contract regimes prescribed in the Labor Code (hereafter called employee).

3. Organizations, individuals prescribed at the Article 6, Article 7, Article 8 and Article 9 of this Decree.

Article 3. Salary arrangement and salary allowance

General Director, Deputy General Director, Chief Accountant and Auditor and employees of the Viettel Group are supplied salary arrangement and salary allowance for salary scale, salary sheet and salary allowance prescribed at the Decree No. 204/2004/ND-CP dated December 14, 2004 of the Government on salary regime for staffs, public servants, officers and armed forces, the Decree No. 205/2004/ND-CP  dated December 14, 2004 of the Government promulgating the system of salary scale, salary sheet and salary allowance regime in state agencies and the Decree No. 141/2007/ND-CP dated September 05, 2007 of the Government promulgating the salary regime for state-owned parent companies and subsidiary companies in Economics Group to the time that Viettel Group can build salary scale and salary sheet in accordance with regulations at clause 3, Article 6 of this Decree or when the Government has new regulations.

Article 4. Salary management for employees

1. Employee management

a) Basing on production and business quantity, quality, requirement and tasks of Viettel Group to define plans on using employees, report to the Ministry of National Defense before implementing.

b) Basing on the plan on using employees which is received opinions from the Ministry of National Defense, Viettel Group will directly recruit employees according to Group’s recruitment regulations and commit labor contracts in accordance with labor laws.

c) Every year, Viettel Group will be responsible for evaluating plans on using labors and solving regimes for employees who do not have works in accordance with legal regulations.

2. Salary management

a) The Ministry of National Defense takes prime responsibility, coordinate with the Ministry of Labor, War Invalids and Social Affairs, the Ministry of Finance to stabilize salary unit price in accordance with total revenue target minus unpaid salary expenses for Viettel Group in the 2011 – 2013 period.  Unit price of stabilized salary is defined basing on average salary price which is calculated in accordance with total revenue target minus unpaid salary expenses that Viettel Group has implemented in the 2007 – 2010 period.

b) On the implementation of stabilized salary price in accordance with regulations at sub-clause (2) of this clause, Viettel Group must satisfy all conditions as follows:
- To finish well all tasks of national defense, security appointed by the Party and State.

- To pay to state budget in accordance with legal regulations.

- The increasing level of average salary must be lower than increasing level of average productivity.

- Annual profit must be higher than profit in the previous year at least 5%.

c) Viettel Group’s annual salary fund is defined salary unit price prescribed at sub-clause (a) and (b) of this clause and the target of total revenue target minus unpaid salary expenses. In the case that Viettel Group cannot ensure the profit target and productivity in accordance with regulation at sub-clause (b) of this clause, salary fund must be deducted to ensure all conditions under regulations.

d) Basing on salary fund which is implemented in sub-clause (e) of this clause, Viettel Group will be responsible for building salary payment regime for labors, ensuring democracy, justice, publicity, transparency and attaching salary with the completion of production, business, encouraging employees who have skills, professional knowledge, technique, high productivity to contribute more to Viettel Group.

On building salary payment regime, Viettel Group must take Union executive board of the Group, report to the Ministry of National Defense before implementing and popularizing to each employee.

Article 5. Salary management for General Director, Deputy General Director, Chief Accountant and Auditors

1. Salaries of General Director, Deputy General Director, Chief Accountant and Auditors are calculated in Group’s salary unit price prescribed at clause 2, Article 4 of this Decree.

2. Basing on salary fund implemented according to regulations at sub-clause (c), clause 2 of Article 4 in this Decree, Viettel Group defines salary fund and pays salary to General Director, Deputy General Director, Chief Accountant and Auditors in according to Group’s salary payment regime, ensuring to attach salaries with the completion level of production, business, administration and management responsibilities of General Director, Deputy General Director, Chief Accountant and Auditors and suitable correlation among type of labors in Group. Salary payment regime for General Director, Deputy General Director, Chief Accountant and Auditors is built together with salary payment regime for employees prescribed at sub-clause (d), clause 2, Article 4 of this Decree and reported to the Ministry of National Defense before implementing.

Article 6. Responsibilities of Viettel Group

1. On quarter I each year, to build plan on using labors, plan on total revenue target minus unpaid salary expenses, plan on profits, plan on salary fund of year; to summary results of production, business, profits, labor, salary, bonus of the previous year, to report to the Ministry of National Defense, Ministry of Labor, War Invalids and Social Affairs, Ministry of Finance for supervising and investigating.

2. To define the implementation of salary fund every year; to build regulations on salary payment in accordance with regulations at sub-clause (d), clause 2, Article 4 and clause 2, Article 5 of this Decree.

3. Pursuant to the Decree No. 101/2009/ND-CP dated November 05, 2009 of the Government on pilot establishment, organization, operation and management of state economic groups and current regulations, building salary scale, salary sheet to report to the Ministry of National Defense before applying on the scope of all Group.

4. On quarter III of 2013, to summary, report to the Ministry of National Defense, Ministry of Labor, War Invalids and Social Affairs the results of pilot implementation of salary management to Viettel Group in the 2011 – 2013 period.

Article 7. Responsibilities of Ministry of National Defense

1. To take prime responsibility and coordinate with the Ministry of Labor, War Invalids and Social Affairs, Ministry of Finance to transfer stabilized salary unit price prescribed at regulations on sub-clause (a), (b), clause 2, Article 4 of this Decree; to investigate and supervise the pilot implementation of salary management to Viettel Group in accordance with regulations in this Decree.

2. To have opinions about the plan on using labors, salary scale, salary sheet and regulations on salary payment of Viettel Group.

Article 8. Responsibilities of Ministry of Labor, War Invalids and Social Affairs

1. To coordinate with the Ministry of National Defense on investigating, supervising the pilot implementation of salary management to Viettel Group in accordance with regulations in this Decree.

2. To guide Viettel Group to build salary scale, salary sheet in accordance with clause 3, Article 6 of this Decree.

3. On quarter IV of 2013, to summary, evaluate the results of pilot implementation of salary management to Viettel Group in the 2012 – 2013 period in accordance with regulations in this Decree and report to the Prime Minister.

Article 9. Effect

1. This Decree takes effect on September 15, 2011.

All regulations in this Decree will be implemented from January 01, 2011 to the end of December 31, 2013.

2. The Ministry of Labor, War Invalids and Social Affairs shall take prime responsibility and coordinate with the Ministry of National Defense, Ministry of Finance and relevant ministries to implement this Decree./.

3. Ministers, heads of ministerial-level agencies, heads of government-attached agencies, chairpersons of provincial/municipal People’s Committees and General Director of Viettel Group shall implement this Decree./.

FOR THE GOVERNMENT

PRIME MINISTER

Nguyen Tan Dung