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Implementation of Civil Service
    Legislation in Vietnam:
Strengthening Elements of a Position-Based System


                     Team Members:
   Saskia P. Bruynooghe       Trina Q. Firmalo
   Ann E. Futrell             Jonathon A. Kent
   Rohan Mukherjee            Isy Faingold Vigil


                  Princeton University
                       April 2009
Position vs. Career-Based Systems


    Research Question / Methodology


    Research Focus: Career Paths


    1. Recruitment and Retention
    2. Performance Management
    3. Compensation/Incentives
    ◦ Findings
    ◦ Recommendations
    ◦ Challenges
Career-Based


    ◦ Internal promotion
    ◦ Encourages generalized skills
    Position-Based


    ◦ Lateral recruitment
    ◦ Encourages specialization
    Position Career Spectrum



                                  Vietnam
Research Question


             How can the Government of Vietnam and other
    ◦
             interested parties strengthen the position-based
             elements of Vietnam’s largely career-based civil
             service?

        Methodology


             Interviews
    ◦
                Vietnamese government officials
         
                Donor agencies
         
                Civil service employees
         
             Quantitative data
    ◦
                MOHA, GSO2003
         
Predominantly career-based


    Lack of transparency in recruitment procedures


    and proper training of interviewers
    Higher-level positions are primarily filled from


    within the Civil Service or party; selection
    criteria are largely political
    Rapid economic growth has pulled qualified


    civil servants to the private sector
       Attract high quality candidates
         Improve perception of CS as elite workforce
         Improve outreach via multiple channels
       Increase transparency and quality of
        recruitment process
       Carry out job analyses and create job
        descriptions that will be used in
        recruitment
       Improve training and retraining methods
       Continue experimenting with lateral
        recruitment at senior and middle levels
   Develop human resources to a professional
    level
   Institute reforms to compete for talent with
    private sector
   Overcome bureaucratic retrenchment and
    political resistance
Three-tiered assessments


          Self-evaluation
    ◦
          Peer review
    ◦
          Evaluation by immediate superior
    ◦
        Focus on character traits and compliance


        with general principles rather than job-
        specific targets
        Emphasis on avoiding noncompliance

Delegate more responsibility to agencies


    Use job descriptions as baseline


    Strengthen communication and

    accountability through negotiated
    ‘development contracts’
    Link individual, group and agency

    performance
    Streamline responses to poor performance

    via a clear and formal process
    Focus on positive incentives for good

   Develop relevant performance indicators
   Address goal displacement and gaming
    strategies
   Manage expectations about a feasible
    pace of change
   Design tools and procedures that work in
    the Vietnamese context
Pay is based on a salary scale anchored on


    minimum wage, with coefficients
    Salary scale is relatively compressed


    Many civil servants supplement income with


    other sources
    Civil servants receive non-wage benefits


    and incentives worth more than their salary
Minimum Wage Increases and Inflation Rates (1994-2003)




       Source: Government of Vietnam General Statistics Office (2003) in “Sequencing Civil Service
       Pay Reforms in Vietnam: Transition or Leapfrog?”. Martin Painter, 2006.
Study possibility of wage decompression


    Continue sustainable and practicable wage


    increases, especially for professional and
    administrative workers
    Enhance quality of the work environment


    Establish mentoring programs


    Emphasize non-financial incentives


    Establish group incentives

Carrying out wage reform taking into


    consideration size of government wage bill
    Implementing decompression


    Efficiency measures (e.g. rightsizing)


    Overcoming resistance to change


    Addressing misperception / lack of


    information about the wage gap
    Sorting out legitimate vs. illegitimate


    sources of income
Moving towards a more position-based


    civil service would support PFM reform in
    particular, and the PAR MP in general, by:
    ◦ attracting the right people for the right jobs
    ◦ monitoring employees with improved
      performance management measures
    ◦ having higher levels of retention with attractive
      compensation packages

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2009 04 01 Implementation Of Civil Service Legislation In Vietnam

  • 1. Implementation of Civil Service Legislation in Vietnam: Strengthening Elements of a Position-Based System Team Members: Saskia P. Bruynooghe Trina Q. Firmalo Ann E. Futrell Jonathon A. Kent Rohan Mukherjee Isy Faingold Vigil Princeton University April 2009
  • 2. Position vs. Career-Based Systems  Research Question / Methodology  Research Focus: Career Paths  1. Recruitment and Retention 2. Performance Management 3. Compensation/Incentives ◦ Findings ◦ Recommendations ◦ Challenges
  • 3. Career-Based  ◦ Internal promotion ◦ Encourages generalized skills Position-Based  ◦ Lateral recruitment ◦ Encourages specialization Position Career Spectrum  Vietnam
  • 4. Research Question  How can the Government of Vietnam and other ◦ interested parties strengthen the position-based elements of Vietnam’s largely career-based civil service? Methodology  Interviews ◦ Vietnamese government officials  Donor agencies  Civil service employees  Quantitative data ◦ MOHA, GSO2003 
  • 5. Predominantly career-based  Lack of transparency in recruitment procedures  and proper training of interviewers Higher-level positions are primarily filled from  within the Civil Service or party; selection criteria are largely political Rapid economic growth has pulled qualified  civil servants to the private sector
  • 6. Attract high quality candidates  Improve perception of CS as elite workforce  Improve outreach via multiple channels  Increase transparency and quality of recruitment process  Carry out job analyses and create job descriptions that will be used in recruitment  Improve training and retraining methods  Continue experimenting with lateral recruitment at senior and middle levels
  • 7. Develop human resources to a professional level  Institute reforms to compete for talent with private sector  Overcome bureaucratic retrenchment and political resistance
  • 8. Three-tiered assessments  Self-evaluation ◦ Peer review ◦ Evaluation by immediate superior ◦ Focus on character traits and compliance  with general principles rather than job- specific targets Emphasis on avoiding noncompliance 
  • 9. Delegate more responsibility to agencies  Use job descriptions as baseline  Strengthen communication and  accountability through negotiated ‘development contracts’ Link individual, group and agency  performance Streamline responses to poor performance  via a clear and formal process Focus on positive incentives for good 
  • 10. Develop relevant performance indicators  Address goal displacement and gaming strategies  Manage expectations about a feasible pace of change  Design tools and procedures that work in the Vietnamese context
  • 11. Pay is based on a salary scale anchored on  minimum wage, with coefficients Salary scale is relatively compressed  Many civil servants supplement income with  other sources Civil servants receive non-wage benefits  and incentives worth more than their salary
  • 12. Minimum Wage Increases and Inflation Rates (1994-2003) Source: Government of Vietnam General Statistics Office (2003) in “Sequencing Civil Service Pay Reforms in Vietnam: Transition or Leapfrog?”. Martin Painter, 2006.
  • 13.
  • 14. Study possibility of wage decompression  Continue sustainable and practicable wage  increases, especially for professional and administrative workers Enhance quality of the work environment  Establish mentoring programs  Emphasize non-financial incentives  Establish group incentives 
  • 15. Carrying out wage reform taking into  consideration size of government wage bill Implementing decompression  Efficiency measures (e.g. rightsizing)  Overcoming resistance to change  Addressing misperception / lack of  information about the wage gap Sorting out legitimate vs. illegitimate  sources of income
  • 16. Moving towards a more position-based  civil service would support PFM reform in particular, and the PAR MP in general, by: ◦ attracting the right people for the right jobs ◦ monitoring employees with improved performance management measures ◦ having higher levels of retention with attractive compensation packages

Editor's Notes

  1. <number><number>
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  3. Merit-based civil services can be broken down into two types: career-based and position-based. A career-based system is considered to be a largely closed system that promotes individuals from lower-rank to higher rank positions. A position-based system is considered to be a system where the best-suited candidate depending upon there experience and training relevant to the position. In such a system, specialization is key. In practice, no country uses an entirely career-based or position-based CS but rather they fall in a continuum between the two extremes (and use elements of both) as seen here. uses elements of both depending on the specific needs of the country at a given time and what is politically feasible.<number>
  4. While there are various areas of civil service reform, our team decided to focus on three career path areas, in particular the following areas of recruitment and retention, performance management and compensation/incentives<number>
  5. Case: Ministry of Finance – many left to work in the private sector<number>
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  13. performance-related promotionCompetitive salaries for finance people<number>
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