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Significant Reduction in State Personnel Through Early Retirement

Early retirement cuts number of state personnel by 73,245 people

Over 73,000 officers opted for early retirement, accounting for 81.77% of the total, while 16,182 individuals resigned immediately, making up 18.06%.

The National Assembly Standing Committee reviewed a report on enhancing the efficiency and quality of public service units’ operations during 2018-2023.

The report highlighted the restructuring of public non-business units from 2015 to 2021, leading to a reduction in redundant functions and a 13.33% decrease in the total number of units.

By the end of 2021, there was a cut of 7,449 units, bringing the total down to 48,442 compared to 2015.

While some localities met the targeted reduction of 10%, others fell short, with cities like Binh Duong and HCM City showing minimal decreases.

Notably, regions like Son La, Yen Bai, and Hoa Binh surpassed the reduction targets significantly.

At the central level, the reduction of public non-business units was 7.4%, below the aimed 10% decrease, particularly affecting ministries like MOFA, Ministry of Public Security, and Ministry of Information and Communications.

Despite ongoing efforts, the reduction of units in 2021-2023 remains below expectations, with only 846 units trimmed.

While the central-level reduction is progressing towards the 10% target by 2025, local-level reductions are lagging behind, posing a challenge in meeting the reduction goal.

From 2015 to 2021, the number of public employees receiving state budget salaries decreased by 236,366, totaling an 11.67% reduction.

Ministries and branches saw a higher reduction of 25.19% compared to a 10.51% decrease in localities.

In the following years, some ministries experienced significant drops in staff, while localities showed modest reductions and even staff increases in certain regions.

The average staff reduction at localities during 2021-2023 was only 1.42%, falling short of the 10% target reduction.

As of December 31, 2023, around 89,576 staff remained under the personnel streamlining policy, with the majority of them in localities.

Out of these, a significant number took early retirement, while a few resigned or moved to organizations not funded by the state budget.

The reorganization process focused on specific roles like accountants, school healthcare providers, drivers, security guards, and service personnel at public non-business units to ensure smooth transitions.


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