Drastic restructuring needed to achieve 'fast, stable and sustainable development'

The National Assembly of Vietnam approved plans to merge provinces and cities on June 12, slashing nearly 80,000 state jobs, as part of major reforms to the communist country's administrative structure.

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HANOI -

Lawmakers voted to reduce the 63 provincial and city administrations to just 34, as the government looks to slash state spending.

The move follows the government's reduction of ministries and agencies from 30 to 22 in February, resulting in about 23,000 job losses.

The dramatic changes echo US President Donald Trump's push to take a hatchet to government spending, but they have created unease among some in a communist system where working for the state has long meant a job for life.

Vietnam's top leader To Lam has said the drastic restructuring of the country's governance is needed if it is to achieve "fast, stable and sustainable development".

In the June 12 vote, the assembly — a rubber-stamp body in a one-party system — approved the government's plans by 461 ballots to one, with three abstentions.

Only 11 provinces and cities are left unchanged by the reform, with the rest all merged.