Decree No. 267/2026/ND-CP on elaborating the application of disciplinary measures and compensation for damage in respect of waste-causing acts and violations in organization of waste prevention and control

 

DECREE

ELABORATING THE APPLICATION OF DISCIPLINARY MEASURES AND COMPENSATION FOR DAMAGE IN RESPECT OF WASTE-CAUSING ACTS AND VIOLATIONS IN ORGANIZATION OF WASTE PREVENTION AND CONTROL

Pursuant to the Law on Government Organization No. 63/2025/QH15;

Pursuant to the Law on thrift practice and waste prevention No. 110/2025/QH15;

Pursuant to the Law on Cadres and Civil Servants No. 80/2025/QH15;

Pursuant to the Law on Public Employees No. 129/2025/QH15;

At the request of the Ministry of Finance;

The Government has hereby issues a Decree elaborating the application of disciplinary measures and compensation for damage in respect of waste-causing acts and violations in organization of waste prevention and control.

Chapter I

GENERAL REGULATIONS

Article 1. Scope

1. This Decree provides detailed regulations for Clause 4, Article 37 of the Law on Thrift Practices and Waste Prevention No. 110/2025/QH15 on application of disciplinary measures, exemption and mitigation of disciplinary liability, and compensation for damage in respect of waste-causing acts and violations in organization of waste prevention and control.

2. The principles, procedures, and authority for imposing disciplinary measures not specified in this Decree shall comply with regulations in other Decrees on disciplinary measures concerning cadres, civil servants, and public employees.

3. Disciplinary measures against managers of state-owned enterprises, representatives of state capital in enterprises, and auditors shall comply with Decree No. 181/2026/ND-CP on the management of title/position holders, and representatives of state capital in enterprises.

Article 2. Regulated entities

1. Individuals committing waste-causing acts and violations in organization of waste prevention and control.

2. The competent persons responsible for imposing disciplinary measures and compensation for damage in respect of waste-causing acts and violations in organization of waste prevention and control.

3. Other agencies, organizations, and individuals involved in imposing disciplinary measures and compensation for damage in respect of waste-causing acts and violations in organization of waste prevention and control.

Article 3. Entities subject to disciplinary measures and/or compensation for damage

1. Entities subject to disciplinary measures:

a) The head, or deputy head, of an agency, organization, or unit who allows a waste-causing act to occur within the agency, organization, unit, enterprise, or field under their assigned management or charge;

Cadres, civil servants, and public employees who commit waste-causing acts and violations in organization of waste prevention and control;

2. Entities subject to compensation for damage mean entities who committed waste-causing acts that result in damage.

Chapter II

GENERAL REGULATIONS

Section 1. DISCIPLINARY MEASURES

Article 4. Cases of exclusion, exemption from discipline, and mitigation of disciplinary measures

1. Cases of exclusion, exemption from discipline, and mitigation of disciplinary measures shall comply with Law No. 110/2025/QH15, the Law on Cadres and Civil Servants No. 80/2025/QH15, the Law on Public Employees No. 129/2025/QH15, and other relevant laws.

2. Case where a person acts pursuant to an order or decision of a superior without knowing that such order or decision is unlawful shall be considered for mitigation of the disciplinary measures.

Article 5. Application of disciplinary measures by the Communist Party of Vietnam (CPV)

1. Where a CPV disciplinary decision has already been issued, the application of administrative disciplinary measures to cadres, civil servants, and public employees shall comply with principles for applying disciplinary measures prescribed in the Decrees on disciplinary measures for cadres, civil servants, and public employees.

2. Where a CPV disciplinary decision has not yet been issued, the competent disciplinary authority shall direct the advisory agency for personnel work to carry out disciplinary measures for the person committing the violation as prescribed herein.

Article 6. Application of disciplinary measures for the head, or deputy head, of an agency, organization, or unit who allows an waste-causing act to occur within the agency, organization, unit, enterprise, or field under their assigned management or charge;

The head, or deputy head, who is negligent in their responsibilities or lax in leadership and management, thereby allowing an waste-causing act to occur within the agency, organization, unit, enterprise, or field under their direct assigned management or charge, shall be considered for the application of disciplinary measures. To be specific:

1. Reprimand shall be applied where such waste-causing act is subject to fines, community sentence, or imprisonment of up to 3 years.

2. Warning shall be applied where such waste-causing act is subject to imprisonment of more than 3 years up to 7 years.

3. Demotion shall be applied where such waste-causing act is subject to imprisonment of more than 7 years up to 20 years, life imprisonment, or the death penalty.

Article 7. Application of disciplinary measures for cadres, civil servants, and public employees who commit waste-causing acts

1. Cadres, civil servants, and public employees who commit waste-causing acts falling in one of the following cases shall be subject to reprimand:

a) First-time violation causing damage from VND 2 million to under VND 50 million;

b) First-time violation causing damage from VND 50 million to VND 75 million, falling under one of the cases eligible for mitigation of the disciplinary measures as specified in Article 4 of this Decree;

c) Act of failing to issue, or delaying the issuance of, amendment to legislative documents on norms, standards, and policies thrift practice and waste prevention and control, thereby causing waste.

2. Cadres, civil servants, and public employees who commit waste-causing acts falling in one of the following cases shall be subject to warning:

a) Having already been subject to reprimand and committing a repeat violation, except where criminal liability is being considered;

b) First-time violation causing damage from VND 50 million to VND 75 million.

3. Cadres, civil servants, and public employees who are leading or managing position holders and fall in one of the following cases shall be subject to demotion:

a) Having already been subject to warning as specified in Clause 2 of this Article and committing a repeat violation, except where criminal liability is being considered;

b) First-time violation causing waste that results in damage of over VND 75 million but not yet reaching the level warranting forced resignation or dismissal, where the violator shows a receptive attitude, corrects the violation, and proactively remedies the consequences, and falls under one of the cases eligible for mitigation of the disciplinary measures as specified in Article 4 of this Decree.

4. Cadres, civil servants, and public employees who commit waste-causing acts falling in one of the following cases shall be subject to forced resignation:

a) Having already been subject to demotion (for those who are leading or managing position holders) or warning (for those who are not leading or managing position holders) and committing a repeat violation, except where criminal liability is being considered;

b) First-time violation causing waste that results in damage of over VND 75 million but not yet reaching the level warranting forced resignation or dismissal, where the violator shows no a receptive attitude, fails to correct the violation and proactively remedy the consequences, and falls under one of the cases subject to aggravation of the disciplinary measures as specified in Article 4 of this Decree.

Article 8. Application of disciplinary measures for cadres, civil servants, and public employees who commit violations in organization of waste prevention and control

1. Cadres, civil servants, and public employees who commit first-time violation falling in one of the following cases shall be subject to reprimand:

a) Obstructing or being negligent in inspection or audit of thrift practice and waste prevention and control conducted by a competent authority or organization;

b) Obstructing, or being negligent in verification, handling, resolution, or organization of the implementation of decisions resolving complaints and denunciations regarding thrift practice and waste prevention and control.

2. Cadres, civil servants, and public employees who fall in one of the following cases shall be subject to warning:

a) Having already been subject to reprimand as specified in Clause 1 of this Article and committing a repeat violation;

b) Committing a violation in the protection of persons fighting against waste and family of such persons, in accordance with the law.

Section 2. COMPENSATION FOR DAMAGE

Article 9. Principles for determining damage and compensation for damage

1. For the purpose of determining compensation liability under this Decree, damage caused by a waste-causing act is the actual damage that can be quantified in monetary terms by one of the methods for determining the value of damage prescribed herein or in relevant laws, and which has a direct causal relationship with the waste-causing act. The damage must be determined based on documents, invoices, records, accounting data, and lawful and valid evidence, and must be reflected in the conclusion of the competent authority as prescribed.

2. The consideration and handling of compensation liability must be based on the fault, nature, and severity of the waste-causing act, the actual damage caused, the extent to which the consequences have been remedied, and the ability of the person liable to fulfill the compensation obligation, in order to decide the level and method of compensation for damage; objectivity, fairness, and publicity must be ensured.

3. Compensation liability shall be determined in correspondence with the degree of fault, responsibility, and violation of each person committing the violation, ensuring objectivity, fairness, publicity, and consistency with the nature and severity of the violation. If there is no basis to determine the degree of responsibility and violation of each person, the compensation liability shall be divided equally among them.

4. The determination of the value of damage in criminal cases shall be carried out in accordance with criminal laws, laws on criminal procedure, and other relevant laws.

5. If laws on handling administrative violations and specialized laws in each field of thrift practice and waste prevention and control provide for methods of determining the value of damage, or remedial measures of a similar nature, the inspection, and audit agencies shall, based on those laws, determine the value of damage when conducting inspections or audits.

6. When there is sufficient basis to determine an waste-causing act and the case does not fall under Clauses 4 and 5 of this Article, the inspection and audit agencies may use one or more of the methods for determining damage as prescribed in Articles 10, 11, 12, 13, 14, 15, 16, 17, 18, 19, 20, 21, and 22 of this Decree to determine the value of damage corresponding to the consequences of the waste-causing act.

Article 10. Damage resulting from consequences an increase in state budget expenditure

Damage shall be determined by one of the following methods:

1. The additional funding amount compared to the estimate, the total investment level, or the funding level approved by the competent authority, directly caused by the waste-causing act. When determining the damage, costs arising from objective causes, force majeure, fluctuations in the price of raw materials, changes in legal policy, adjustments to planning, technical standards or regulations, requirements of a competent authority, or other causes not attributable to the fault of the person whose liability is being considered, must be excluded.

2. The entire amount of state budget funding disbursed in the implementation of a document issued in contravention of the guidelines of the CPV or the laws of the State.

Article 11. Damage resulting from loss of the state budget or the funds of off-budget state financial funds

Damage shall be determined by one of the following methods:

1. The amount of state budget funding disbursed for improper purposes, recipients, norms, standards, policies, or estimates approved by the competent authority.

2. The amount of state budget funding advanced but that cannot be recovered.

3. The amount disbursed from an off-budget state financial fund for purposes, operating regulations, or financial mechanisms not in accordance with those of the fund.

4. The amount of public investment capital used in excess of the level approved by the competent authority’s investment guidelines; or used for improper purposes or recipients, or in excess of prescribed norms and standards.

5. The amount of state capital used to carry out a portion of a construction work that does not comply with law, must be demolished, or cannot be accepted and handed over for use, directly caused by the waste-causing act, after deducting the residual value that can be recovered, reused, liquidated, or the value of assets, supplies, or equipment that can be repurposed in accordance with the law.

6. The reduction in the amount of profit that should have been remitted to the state budget due to state-owned enterprises setting aside provisions for improper purposes or in a manner not in accordance with the policies issued by the competent authority.

Article 12. Damage resulting from consequences of additional state budget expenditure for the demolition of a construction work formed from an investment project

The damage shall be determined as the entire state budget funding that must be disbursed to carry out the demolition of a construction work formed from the project, resulting from the waste-causing act.

Article 13. Damage resulting from a project being delayed in schedule or progress compared to the approved schedule or progress

1. The damage shall be determined as the actual amount of state capital invested in constructing the work, multiplied by the average of the lowest term deposit interest rates of commercial banks in which the State holds more than 50% of the charter capital, during the period the construction work or project was halted due to intentional violations committed during project execution.

2. Damage shall not be included as prescribed this Article for delays caused by force majeure, natural disasters, epidemics, delayed site clearance; delayed capital allocation, abnormal fluctuations in prices or materials, changes in planning, technical standards or regulations, adjustment of the project’s investment guidelines pursuant to a decision of a competent authority, or other objective causes not attributable to the fault of the person whose liability is being considered.

3. The determination of damage must be based on the project dossier, contracts, construction logs, acceptance records, directive and adjustment documents of the competent authority, and other relevant lawful documents.

Article 14. Damage resulting from loss of public assets

Damage shall be determined by one of the following methods:

1. The portion of the value of public assets invested, constructed, procured, or allocated in excess of the norms and standards prescribed by law, determined in accordance with Decree No. 63/2019/ND-CP prescribing administrative penalties for violations against regulations on management of public assets; thrift practice and waste prevention and control; national reserves; and the state treasury, as amended by Decree No. 55/2026/ND-CP.

2. The residual value of public assets that have been lost, damaged beyond repair, or used in violation of regulations resulting in their being unrecoverable, determined based on accounting records, asset management records, inventory results, valuation or appraisal results, or the conclusion of a competent authority at the time of determining the damage.

3. The portion of the value of assets lost through wastage/shrinkage in excess of the prescribed norms.

Article 15. Damage resulting from damage to public assets

Damage resulting in damage to public assets shall be the amount of state budget funding required to be disbursed to repair and restore the public assets.

Article 16. Damage resulting from consequences of addition state budget expenditure for the preservation, protection, operation, maintenance, and repair arising from failure to promptly handle unused public assets

The damage shall be determined as the additional state budget funding incurred for the preservation, protection, operation, maintenance, and repair of public assets resulting from the waste-causing act 0}

Article 17. Damage resulting from consequences of additional state budget expenditure for handling, restoring, rehabilitating, and compensating for damage

The damage shall be determined as the entirety of the reasonable and necessary state budget funding that must be disbursed to prevent, limit, and remedy the consequences of waste-causing act, and to restore public assets and resources to their original state. State budget funding not directly related to the waste-causing act, or arising from objective causes not attributable to the fault of the person whose liability is being considered, shall not be counted as damage.

Article 18. Damage resulting from loss of resources or energy

The damage shall be determined as the value of resources or energy that has been illegally extract, lost, or depleted (including the depletion of resources due to extraction exceeding regenerative capacity, pollution, destruction, degradation, or diminished value due to the intentional use of outdated technology), directly caused by an waste-causing act in the management, extraction, or use of resources or energy, determined according to the price announced by the competent state authority or according to the valuation and appraisal methods prescribed by law at the time the damage is determined.

If specialized law prescribes permissible loss/wastage norms, the portion of loss or wastage within the norm shall not be considered as damage.

Article 19. Damage resulting from other financial obligations of the State

1. The damage shall be determined as the other financial obligation that the State must perform, directly caused by the waste-causing act, including obligations of payment, support, compensation, guarantee, debt repayment, interest, fees, or other financial obligations prescribed by law or agreed upon in a contract.

2. If a financial obligation arises in an investment project under the public-private partnership method, in public debt management operations, in the management of state capital at enterprises, or in other financial transactions, the determination of damage, in addition to this Article, must also comply with the relevant specialized laws.

Article 20. Damage resulting in loss of state capital at an enterprise

Damage resulting in loss of state capital at an enterprise shall be the portion of state capital at the enterprise actually lost or reduced, directly caused by the waste-causing act, determined based on the audited financial statements, accounting records, inspection/audit conclusions, or confirmation by a competent authority in accordance with laws on the management and investment of state capital at enterprises.

Article 21. Damage resulting from consequences causing public assets unable to be put into use

1. Damage resulting from consequences causing public assets unable to be put into use shall be determined as the value of wear and tear, and depreciation of fixed assets as prescribed, during the period the asset was not put into use due to the fault of the person assigned to manage or use the asset.

2. Damage shall not be included as prescribed this Article for the period during which a public asset has not been put into use due to organizational restructuring; during awaiting submission report to a competent authority for a decision on asset handling; during which funding for repair or renovation not yet having been allocated; during the implementation of a suspension request from a competent authority; or other objective causes not attributable to the fault of the person assigned to manage or use the asset.

3. The determination of damage must be based on public asset management records, decisions on the assignment or handling of assets, accounting records, technical records, inventory records, documents of the competent authority, and other relevant lawful documents.

Article 22. Damage resulting from consequences of a reduction of state budget revenue

The damage shall be determined as the entirety of the state budget revenue that has been reduced due to the commission of the waste-causing act specified in Clause 5 of Article 4 of Law No. 110/2025/QH15. The determination of the reduced state budget revenue shall be carried out in accordance with laws on land, laws on tax administration, and other relevant laws.

Article 23. Procedures for determining compensation liability

1. The procedures for determining compensation liability, in the case of damage caused by a cadre, civil servant, or public employee, shall be carried out concurrently with the procedures for imposing disciplinary measures, in accordance with laws on cadres, civil servants, and public employees. The disciplinary decision must clearly state the basis for determining the damage, the degree of fault, the scope of liability, the amount of compensation, and the time limit and method for making the compensation.

2. If the violator is excluded or exempted from disciplinary measures, but still subject to compensation obligation under the law, the person with disciplinary authority shall review and decide the compensation liability based on dossiers and documents proving the actual damage, the fault of the violator, and the causal relationship between the act and the damage.

3. The person whose compensation liability is being considered has the right to provide explanations, submit relevant documents and evidence, and request consideration of their ability to fulfill the compensation obligation before the competent person makes a decision.

4. For cases not falling under Clause 1 of this Article, or where criminal laws, laws on criminal procedure, laws on penalties for administrative violations, or specialized laws provide otherwise, the determination of compensation liability must be reflected in the conclusion or handling decision of the inspection, audit, or investigation agency, in accordance with the relevant laws.

Article 24. Authority to issue decisions on compensation for damage

1. The authority to issue decisions on compensation for damage, in cases where the waste-causing act is subject to criminal prosecution, administrative penalties, or handling measures under relevant laws, shall comply with laws on criminal procedure, criminal laws, laws on penalties administrative violations, and other relevant laws.

2. Where the waste-causing act does not fall under the cases to be handled as prescribed in Clause 1 of this Article, the authority competent to discipline the cadre, civil servant, or public employee shall be the competent authority that issues the decision on compensation for damage.

Article 25. Issuance of decisions on compensation for damage

1. The issuance of a decision on compensation for damage, in cases where the waste-causing act is subject to criminal prosecution, administrative penalties, or handling measures under relevant law, shall be carried out in accordance with the Criminal Procedure Code, the Criminal Code, the Law on Penalties of Administrative Violations, and other relevant laws.

2. If the waste-causing act does not fall under the cases to be handled as prescribed in Clause 1 of this Article, the authority competent to discipline the cadre, civil servant, or public employee shall be the competent authority that issues the decision on compensation for damage.

a) Within 5 working days from the date of issuing the decision on compensation for damage, the person with authority to issue the decision must send it to the liable person for execution;

b) If, after the disciplinary decision or the compensation decision has been issued, new facts are discovered that change the basis for determining fault, the severity of the violation, the value of the damage, or the amount of compensation previously concluded, within 10 working days from the date the new facts are discovered, the competent person shall consider re-implementing the procedures prescribed in Article 23 of this Decree in order to re-determine the compensation amount within their authority;

c) If the liable person transfers to another position, resigns, or retires before the date the decision on compensation for damage is issued, that person must still fulfill the compensation obligation in accordance with this Decree.

In this case, the head of the agency, organization, or unit with disciplinary authority (or the competent managing agency prior to the person’s transfer, resignation, or retirement) shall, based on the inspection or audit conclusion, directly issue the decision on compensation for damage, independent of the disciplinary decision or the Disciplinary Council.

Article 26. Compensation payments; deferral of compensation

1. A liable person must make a lump-sum payment within 30 days from the date of receiving the decision on compensation for damage, except for the case specified in Clause 2 of this Article.

2. Payment of compensation in installments shall apply where all of the following conditions are satisfied:

a) The compensation amount is VND 15.000.000 or more;

b) The person is facing particular economic difficulty and has submitted an application to pay the compensation in installments.

3. The time limit for paying compensation in installments shall not exceed 12 months from the effective date of the compensation decision. For the liable person belonging to a poor or near-poverty household, undergoing treatment for a serious/incurable disease, or whose family is facing particular economic difficulty, or in other special cases, the person competent to issue the compensation decision may consider allowing payment in installments within a period not exceeding 24 months.

4. The number of installments, the amount of each installment, and the timing of each payment shall be decided by the person competent to issue the compensation decision, based on the amount payable, the degree of fault, the income, economic circumstances, and the ability of the liable person. The decision on installment payment must be made in writing.

5. Where the time limit for a given installment payment expires and the liable person has failed to make or has only partially made the compensation payment, 20% of the employee’s actual monthly salary, after deduction of compulsory social insurance, health insurance, unemployment insurance, and personal income tax as prescribed by the relevant laws, shall be withheld until the compensation is paid in full as decided by the competent person.

6. If the person who has not yet completed compensation transfers to another position, resigns, or retires, the head of the agency or organization that issued the compensation decision shall request such person to pay the remaining outstanding amount before the transfer, resignation, or retirement.

7. Where the liable person intentionally delays or evades the performance of compensation, the head of the agency or organization that issued the compensation decision shall, based on the specific circumstances, take the following measures:

a) Cooperate with the new agency/organization of such person or with the local government of their place of residence in requesting him/her to continue making the compensation;

b) Cooperate with the social security authority in progressively deducting 20% of the monthly pension of a retired person who has not yet completed compensation;

c) Exercise the right to initiate a lawsuit in accordance with the law.

8. The agencies or organizations that received the person or the local government of the place of residence of the liable person who intentionally delays or evades payment shall cooperate closely with the agency or organization where that person previously worked in requesting such person to continue fulfilling their compensation liability.

9. Deferral of compensation

a) The liable person may be granted deferral of compensation in the following cases:

Currently undergoing hospital treatment; or a woman on maternity leave;

Such person’s family belonging to a poor or near-poverty household as prescribed by the Government or in difficult circumstances certified by the commune-level People’s Committee of the place of residence;

Temporary detainee/person in detention awaiting the conclusion of the competent investigation authority regarding the investigation, verification, and conclusion of another violation against law.

The duration of deferral of compensation:

A maximum of 6 months for a person undergoing hospital treatment, except for serious/incurable diseases on the list issued by the Ministry of Health, in which case the deferral period shall correspond to the actual treatment period; and for persons belonging to families belonging to poor or near-poverty households as prescribed by the Government, or families in difficult circumstances certified by the commune-level People’s Committee of the place of residence;

A maximum duration equal to the prescribed maternity leave period for a woman on maternity leave;

A maximum duration equal to the period of temporary detainment or detention for temporary detainees/persons in detention awaiting the conclusion of the competent investigating authority regarding another violation against law.

10. The liable person shall provide documents proving that he/she fall under cases specified in Clause 2 and Point a of Clause 9 of this Article to the person competent to issue the compensation decision for review and decision on permitting installment payment or deferral of compensation as prescribed.

Within 5 working days from the date of receiving an application for deferral of compensation or for installment payment, the competent authority issuing the compensation decision shall provide a specific response on whether to permit the deferral or installment payment or for notifying the reasons for refusal.

11. If the liable person damage dies, the decision on compensation for damage shall cease to be effective at the time of that person’s death.

12. If the performance of compensation or the deferral of compensation for damage is the remedial measure imposed for an administrative violation or in a criminal case, it shall be carried out in accordance with the relevant law.

Article 27. Collection, remittance, management, and use of compensation

1. The agency or organization of the person competent to issue the decision on compensation for damage shall collect the full amount of the compensation and remit it into the state budget in accordance with the applicable state budget delegation, except for the case specified in Clause 2 of this Article.

2. For damage to an off-budget state financial fund, the compensation shall be remitted to the fund and managed in accordance with laws on the financial mechanism of the fund.

3. The compensation paid by the liable person must be collected and tracked in detail for each installment (if paid in installments), must be accompanied by full and proper supporting documents, and must be managed in accordance with the applicable financial policies.

4. If the collection, remittance, management, and use of compensation are the remedial measure imposed for an administrative violation or in a criminal case, it shall be carried out in accordance with the relevant law.

Chapter III

IMPLEMENTATION CLAUSES

Article 28. Transitional handling

1. For violations that were reviewed and handled before the effective date of this Decree, the provisions applicable at the time the violation occurred shall continue to apply for handling. For violations that occurred before the effective date of this Decree but are only reviewed and handled after the effective date of this Decree, this Decree or the applicable regulations at the time the violation occurred shall apply, whichever is more favorable to the cadre, civil servant, or public employee subject to disciplinary measures.

2. For compensation liability that is being reviewed and handled by the Council for handling liability to compensate for damage before the effective date of this Decree, the applicable regulations at the time of reviewing and handling the compensation liability shall continue to apply.

Article 29. Effect

1. The Decree comes into force from July 01, 2026.

2. In case the legislative documents referenced in this Decree are amended or replaced, the newer documents shall apply.

3. Ministers, Heads of ministerial agencies, Presidents of People’s Committees of provinces/centrally affiliated cities are responsible for implementing this Decree.