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Vietnam Approves Sweeping Reform to Halve Provinces, Cut Jobs

Vietnam Approves Sweeping Reform to Halve Provinces, Cut Jobs

Post by : Jyoti Gupta

Photo:AFP

Vietnam's National Assembly has just agreed to a major plan that will change how the country is run. This plan will cut the number of provinces and cities from 63 to just 34. It also means that nearly 80,000 government workers will lose their jobs or take early retirement.

Out of the current 63 provinces and cities, only 11 will stay the same. These include places like Hanoi, Hue, and Quang Ninh. All the other provinces will be combined to form new ones. The new changes will officially begin on July 1, 2025.

This is part of a much bigger reform plan led by Vietnam’s top leader, General Secretary To Lam. The goal is to make the government smaller but stronger—working better, faster, and saving more money.

One major change is that the district level of administration will be completely removed. The government will also reduce the number of ministries and top agencies from 30 to 22. At the local level, many communes will be reorganized, and thousands of part-time workers will also lose their jobs.

In total, about 250,000 jobs will be cut. This includes 130,000 government staff and 120,000 part-time workers. The plan is expected to save around $7.3 billion between 2026 and 2030.

The Interior Minister called this the biggest change in Vietnam’s history. The government says these changes are meant to reduce waste, fight corruption, and make life better for everyday people.

June 13, 2025 3:24 p.m. 1211

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