Staff reduction allowance for village head resigning in 2026

Reader asks: I was the Village Head from March 2024 to June 30, 2026, then quit my job due to village arrangement. The monthly allowance is 2,574,000 VND. I am a male student born in August 1991. So how much allowance do I receive according to Decree 154/2025/ND-CP?

YouMe Law Company Limited said:

Readers who are Village Heads are subject to non-specialized activities in the village (according to the provisions of Clause 1, Article 14 of Decree No. 185/2026/ND-CP). Readers are redundant and immediately quit their jobs due to village arrangement and merger (according to Clause 5, Article 2 of Decree No. 154/2025/ND-CP).

The reader is the Village Head (non-specialized worker in the village). Born in August 1991 (male, 35 years old), belonging to the group that has not reached retirement age.

Working time: From March 2024 to the end of June 30, 2026 is 2 years and 4 months (equivalent to 28 months).

Regarding working time: According to Clause 7, Article 5 of Decree 154/2025/ND-CP, the time to calculate allowances based on the number of years of service, if there are odd numbers, is rounded according to the principle: from 01 month to full 06 months is calculated as 0.5 years; from over 06 months to under 12 months is calculated as 01 year. Because the working time of the reader is 2 years and 4 months, the odd number of months is 4 months (from 1 to 6 months), rounded to 2.5 years.

Application case: Groups that have not reached retirement age and have less than 5 years of service (according to Point a, Clause 1, Article 10 of Decree 154/2025/ND-CP).

Point a, Clause 1, Article 10 of Decree 154/2025/ND-CP stipulates policies for non-specialized workers in villages and residential groups who are redundant due to the arrangement of villages and residential groups to retire immediately from the time of the arrangement decision of the competent authority:

1. Non-specialized personnel in villages and residential groups who have not reached retirement age as prescribed in Appendix I, Appendix II issued together with Decree No. 135/2020/ND-CP (excluding subjects specified in Clause 2 of this Article) are entitled to the following regimes:

a) For people with less than 05 years of service, they are entitled to the following regimes:

Being entitled to a one-time allowance equal to 0.8 times the current monthly allowance multiplied by the number of working months.

Being entitled to an allowance equal to 1.5 times the current monthly allowance for each year of work.

Being entitled to a 3-month monthly allowance currently enjoyed to find a job.

Being allowed to preserve the time of compulsory social insurance contribution or enjoying one-time social insurance benefits according to the provisions of the law on social insurance.

Therefore, the calculation of allowances is as follows:

With the current monthly allowance of 2,574,000 VND, the one-time allowance amount is calculated as follows:

One-time allowance based on the number of working months

Benefit: 0.8 × 2,574,000 × 28 = 57,657,600 VND.

Allowances by number of years of service

2.5 years × 1.5 × 2,574,000 = 9,652,500 VND

Job seeking allowance

3 × 2,574,000 = 7,722,000 VND.

Total expected subsidy amount: 57,657,600 + 9,652,500 + 7,722,000 = 75,032,100 VND.

In addition to the expected one-time allowance of 75,032,100 VND, you are also entitled to preserve the time of compulsory social insurance contribution or enjoying one-time social insurance benefits according to the provisions of law (if you participate).

Note that this is a reference calculation level based on the information provided by readers. When resolving the regime, the competent authority will accurately determine the number of months of early retirement, and the working time to be calculated for benefits.

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