Public institutions refer to units engaged in public welfare services established by the government at their expense. Public institutions on the mainland can be divided into three types in terms of their sources of funds: those with full financial allocation, those with shortfall appropriations, and those that collect and support themselves. Since 2011, the mainland has begun to carry out classification reform of public institutions.
The reform of the classification of public institutions is carried out in accordance with the spirit of Zhong Fa [(2011) No. 5, that is, the Guiding Opinions of the State Council on Promoting the Reform of Public Institutions by Classification". In accordance with the requirements of the classification reform, public institutions are divided into three categories: undertaking administrative functions, engaging in production and business activities, and engaging in public welfare services.
Public institutions that undertake administrative functions are classified as administrative units, that is, public institutions that participate in public administration, as they are called; public institutions engaged in public welfare services are subdivided into two categories: those that undertake basic public welfare services such as compulsory education, basic scientific research, public culture, public health, and basic medical services at the grassroots level are classified as public welfare first-class public welfare institutions; and those that undertake public welfare services such as higher education and non-profit medical care, which can be partially allocated by the market, are classified as second-class public welfare institutions.
Among the public institutions on the mainland, there are still some people who are self-collecting and self-supporting public institutions engaged in production and operation, and in accordance with the requirements of reform, the self-supporting public institutions are to be turned into enterprises as a whole.
After the public institutions are transformed into enterprises and restructured, they should deepen their internal reforms, change their management mechanisms in accordance with the requirements of the modern enterprise system, and gradually decouple themselves from the original administrative departments in accordance with the principle of separating government administration from enterprise management and separating government from capital.
After the overall restructuring of public institutions into enterprises, a five-year transition period was given. During the five-year transition period, certain support will be given in terms of taxation and fiscal allocation. After the restructuring, the former career staff became workers under the labor contract system, and the pension insurance was changed from the pension insurance of government institutions and institutions to the basic pension insurance for enterprise employees.
Since the endowment insurance system of government institutions and institutions was only implemented on October 1, 2014, after the implementation of the endowment insurance system of government institutions and institutions, in accordance with the spirit of the provisions of Guofa (2015) No. 2, Zhongfa (2011) 5 and Ministry of Human Resources and Social Security (2015) 28 document, the scope of pension insurance of government institutions and institutions is mainly public welfare class I and public welfare class II institutions.
For self-supporting public institutions, if they have not been restructured into enterprises, but have already participated in the basic old-age insurance for employees of enterprises, and have not yet participated in the basic old-age insurance for employees of enterprises, they will temporarily participate in the old-age insurance of organs and institutions, and after their restructuring, they will be included in the basic old-age insurance for employees of enterprises.
In accordance with the spirit of this regulation, we should adopt the idea of old methods for the elderly, methods for middle-aged people, and new methods for newcomers. Policies and regulations are different for those who retire at different periods.
Personnel who retired before the reform of public institutions still enjoy the benefits of retirees of public institutions, and the treatment standards stipulated by the original state remain unchanged, and the adjustment of benefits shall be carried out in accordance with state regulations. This means that those who retired before the restructuring of public institutions are still retired elderly people of public institutions and enjoy the treatment of retired elderly people of public institutions.
For those who participated in the work before the transformation of public institutions and retired after the transformation, the basic pension shall be implemented in accordance with the relevant provisions of the state to ensure the smooth connection of the treatment level of retirees. What is the meaning of this provision? If the basic pension insurance for employees of enterprises has been paid before the restructuring, then they must continue to pay, even if they retire after October 2014, they will still have to calculate their retirement benefits in accordance with the provisions of the basic pension insurance for employees of enterprises in the future.
If before October 2014, the public institution has not been restructured, then you can participate in the endowment insurance of the government institution and the endowment insurance of the institution has not been paid before October 2014, the previous continuous service period is determined to be the deemed payment period; after October 2014 to pay the endowment insurance of the institution and then restructured into the enterprise, the endowment insurance of the organ and institution shall be transferred to the basic endowment insurance of the employees of the enterprise.
After the restructuring, since all the staff members in the establishment of public institutions have been converted into the labor contract system of enterprises, their retirement benefits will be implemented in accordance with the provisions of the basic pension insurance for employees of enterprises. However, due to the relatively long period of deemed contributions, there is still a transitional pension, and there may be a certain gap between the pension and the career editor, which is mainly reflected in the calculation method of the deemed contribution index and the pension calculation method.
To sum up, the change of public institutions as a whole into enterprises mainly refers to public institutions engaged in production and operation. On the whole, the restructuring of public institutions is carried out in accordance with the spirit of the provisions of Zhongfa (2011) No. 5 document. Elderly people who have retired in public institutions before the reform still enjoy the retirement benefits of public institutions; those who participated in work before the restructuring and retire after the restructuring shall have their retirement benefits determined in accordance with the provisions of the basic old-age insurance for the workers of enterprises; and those who have joined the work and retired after the restructuring will certainly have their retirement benefits determined in accordance with the basic old-age insurance for the employees of the enterprises because they are already employees of the enterprises.