Vietnam Introduces New Professional Allowance for Healthcare Workers

The Vietnamese government has issued Decree No. 350/2026/NĐ-CP, establishing professional allowance regimes for healthcare workers. Signed by Deputy Prime Minister Phạm Thị Thanh Trà, the decree takes effect on September 9, 2026, with the allowance provisions commencing from January 1, 2026. The decree applies to civil servants (viên chức) and contracted employees (người lao động hợp đồng) working in healthcare. This includes those engaged in disease prevention, diagnosis and treatment, rehabilitation, traditional medicine and pharmacy, pharmaceuticals and cosmetics, food safety, medical equipment, forensic and psychiatric evaluations, population affairs, social welfare, and the prevention of social evils. It also covers staff at communal health stations, school health personnel in public educational institutions, and medical personnel within the armed forces. Healthcare professionals assigned to multiple roles with different allowance rates will receive the highest applicable rate. Similarly, military medical personnel will receive only the highest allowance if they qualify for multiple special allowances, unless otherwise stipulated by law. The allowance is calculated as a percentage of the base salary, plus leadership position allowance, retention adjustment allowance (if any), and overtime seniority allowance (if any). This monthly allowance is paid concurrently with salary but is not used for calculating social insurance contributions or benefits. The decree specifies that civil servants in professional roles must dedicate at least 50% of their normal working hours per month to these duties. For contracted employees, the allowance will be applied according to their employment contracts for similar direct professional tasks. This policy is seen as a move by the government to strengthen the healthcare sector, a key area of focus within Vietnam's single-party system. The introduction of professional allowances is expected to help attract and retain skilled medical professionals, particularly in rural and underserved areas, thereby improving the overall quality of healthcare services nationwide. Source: Nhan Dan