Central Steering Committee works with Ministry of Finance on Human Resource management

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The working session

Reducing 1,017 officers

Minister of Finance Ho Duc Phoc; Permanent Deputy Minister of Finance Tran Xuan Ha; Deputy Minister of Finance Vu Thi Mai; Deputy Minister of Finance Ta Anh Tuan and representatives of units under the Ministry of Finance and the delegation discussed and received suggestions to implement human resource management in the future.

Speaking at the meeting, Deputy Minister of Finance Ta Anh Tuan said following the Party’s regulations on apparatus and staff streamlining, the leaders of Ministry of Finance have been proactive and drastic in providing instructions on implementation to their units and officers.

The ministry has made annual plans on staff streamlining, so far the finance sector streamlined a total of 1,017 officers, exceeding 10.4% of the plan.

From 2015 to 2021, nearly VND140,000 million was approved for the downsizing of payroll.

Mrs. Truong Thi Mai, Politburo member, Secretary of the Party Central Committee, Head of the Central Organization Committee speaks at the meeting.

In 2021 alone, the number of payroll administrative staff assigned to the Ministry of Finance reduced 10% over 2015 to 7,426 officers. As of June 30, 2021, the Ministry of Finance has 66,274 officers.

The number of officers assigned in 2021 at service delivery units which are ensured by the recurrent expenditure from State budget and at service delivery units which are partially ensured by the recurrent expenditure from the State budget was 2,054 officers (decreasing by 10% compared to 2017).

Deputy Minister Ta Anh Tuan said that, as of June 30, 2021, the Ministry of Finance has used 1,624 payroll officers at service delivery units which are ensured by the recurrent expenditure from the State budget, and service delivery units which are partially covered by the State budget.

In addition, the Ministry of Finance has replaced the recurrent expenditure with revenue from administrative operations, reduced state budget expenditures to support regular activities and dissolved some service delivery units. Accordingly, the state budget to support regular activities of service delivery units under the Ministry in 2021 fell by 31.75% compared to the 2016-2020 period.

Minister Ho Duc Phoc speaks at the working session.

In addition, the organizational restructuring has contributed to reducing intermediate units associated with administrative procedure reform, the strong application of information technology in management and reducing the investment in facilities.

From June 2017 to June 30, 2021, the Ministry of Finance reduced over 4,200 focal points of administrative units at all levels; reduced 10 public service delivery units. The General Department of Taxation alone reduced 2,512 units (including 85 departments, 296 branches and 2,131 groups and teams); and the State Treasury reduced 1,535 units.

At least 10% of service delivery units will be reduced in 2022-2026

Regarding the project of job positions, Deputy Minister Ta Anh Tuan said that up to now, the Ministry of Finance has reported the list of job descriptions for civil servants and contract employees of the finance sector to the Ministry of Home Affairs to submit to the Central Organization Committee for approval.

In 2022, the Ministry of Finance will be assigned 66,836 civil servant payrolls, equal to 2021.

As a multi-sectoral management unit, the Ministry of Finance has a large scope of management. Along with the development of Industrial Revolution 4.0 and international integration, it is necessary to develop State management policy on finance in a transparent, effective, efficient manner and in line with the international practices.

To support the ministry in assigned tasks and meet the increasing workload, from 2023 to 2026, the Ministry of Finance proposes to continue to be assigned a stable payroll of 66,836 civil servants.

The Ministry of Finance will reduce state budget expenditures to support regular activities so that units can proactively balance their spending and dissolve some public service delivery units to realize the goal of reducing at least 10% of public service delivery units compared to 2021.

At the working session, the delegation highly appreciated the payroll management for the 2016 – 2021 period of the Ministry of Finance. The leaders of the General Department of Customs and the General Department of Taxation clarified a number of contents and made recommendations on the organization of the apparatus and staff in the future.

Strengthening autonomy of public service delivery units

Minister of Finance Ho Duc Phoc proposed the Central Organization Committee and the Ministry of Home Affairs to report to the Party and Government on allocating payroll for the 2022 – 2026 period to the Ministry of Finance to ensure human resources for units specializing in policy making, inspection, examination and supervision in accordance with Resolution 18-NQ/ TW; and ensure human resources for specialized units which have to work 24 hours per day and seven days per week to perform their assigned tasks; and maintaining divisions in some departments under the Ministry of Finance to meet the work requirements.

In 2022, the Ministry of Finance plans to change the Academy of Finance from a public service delivery unit which covers part of its recurrent expenditures to a public service delivery unit which covers all of its recurrent expenditures, and add officers enjoying salaries from the state budget for some public service delivery units which assist state management but lack permanent employees.

Accordingly, the total number of payrolls proposed to be allocated to units which cover a part of their recurrent expenditure and units which are ensured recurrent expenditure from State budget is 2,049 officers, of which: 1,282 officers receive salaries from the State budget.

The Ministry of Finance will continue to strengthen the autonomy of public service delivery units, thereby reducing the number of employees enjoying salaries from the state budget in the 2023-2026 period.

The Ministry of Finance is also expected to offer some solutions in human resource management for the 2022-2026 period.

Concluding the session, Mrs. Truong Thi Mai highly appreciated the responsibility of the Ministry of Finance in streamlining the apparatus, improving the effectiveness and efficiency and meeting the requirements of Resolution 39-NQ/TW. The application of IT in operations has helped the Ministry of Finance ensure working efficiency while streamlining staff.

However, the downsizing of the payroll of the Ministry of Finance is similar to that of other ministries. It is due to the retirement of staff reaching retirement age, incapable employees or qualified employees who quit their jobs to move.

The upcoming project on job positions will limit the "brain drain" in the ministries and agencies because qualified young people may receive higher wages than incapable seniors despite having less experience, Truong Thi Mai said.

Noting the proposals and recommendations of the Ministry of Finance on human resource management in the future, Mrs. Truong Thi Mai said she would propose this matter to the competent authorities for consideration.