Vietnam's parliament has officially approved a plan for the largest government restructuring in decades, aiming to cut thousands of jobs and significantly streamline the nation's oversized bureaucracy in pursuit of ambitious growth goals.

The vote took place on Tuesday during a special National Assembly session in Hanoi.

Around 100,000 civil servants are expected to be impacted as the government seeks to reduce the size of ministries, agencies, and the overall workforce by approximately 20%, marking the most significant overhaul since Vietnam introduced pro-market reforms in the 1980s.

As part of the plan, five ministries will be dissolved, while others, like finance and planning, will be merged, Bloomberg reports.

There will also be significant reductions in media outlets, with several state-run TV channels, newspapers, and magazines being shut down.

Communist Party leader To Lam’s efforts to eliminate bureaucracy come ahead of next year’s leadership reshuffle at the National Party Congress, which occurs every two years. Lam is making his mark on the system amid competition to secure a full term as party general secretary.

“Sometimes we have to take bitter medicine, endure pain and cut out tumours in order to have a healthy and strong body,” Lam said during a speech in December.

The reforms are viewed as essential for achieving the 8% economic growth that Prime Minister Pham Minh Chinh is aiming for this year, with plans to target double-digit growth in the years ahead.

A variety of severance packages are being offered to the thousands of government workers being laid off, but many are concerned about securing new jobs, especially with the influx of workers transitioning from the public to the private sector.