LuatVietnamLogo
×

blue-check Regarding implementation of some policies applicable to employees

Official letter No. 372/QHLDTL-CSLD dated June 27th, 2019 of the Ministry of Labour – Invalids and Social Affairs regarding implementation of policies applicable to employees
VietlawOnline

According to Clause 3 Article 186 of the Labor Code No. 10/2012/QH13status1 , with regard to an employee who is not eligible for participation in social insurance, unemployment insurance, the enterprise has to simultaneously pay to the employee a wage and an amount which is equivalent to the level of contribution to social insurance, unemployment insurance. Read more

However, according to Clause 2 Article 11 of Decree No. 28/2015/ND-CPstatus2 , during taking maternity leave, the employee shall be only entitled to allowances from the social insurance agency rather than salary paid by the enterprise and she shall be exempt from payment of unemployment insurance premiums.

Accordingly, during taking maternity leave, the employee shall be exempt from payment of unemployment insurance premiums and the enterprise shall be exempt from payment of salary, there is no ground for the enterprise to base on which to pay unemployment insurance premiums in the term of salary payment for the employee who takes maternity leave.

Regarding change of workplace, Ministry of Labour – Invalids and Social Affairs assumes that when the enterprise transfers an employee to another workplace in comparison with the contents indicated in the labor contract, it has to reach an agreement with the employee in order to modify the labor contract or sign a new labor contract. If the two parties cannot reach an agreement on the modification of the labor contract, they shall continue performing the labor contract already entered into.

Regarding the shutdown of the representative office of a foreign trader, in principle the labor contract already signed with the representative office’s personnel shall be also terminated by default (Clause 7 Article 36 of the Labor Code). However, with regard to the labor contract of the representative office’s manager signed with the foreign trader, it does not belong to the case of termination of labor contract under Clause 7 Article 36 of the aforesaid Labor Code.

×

blue-check Unemployment insurance rate paid by employers is reduced to 0.5% to the end of 2019

Resolution No. 34/NQ-CP dated April 7th, 2017 of the Government on the Government's regular meeting - March 2017
VietlawOnline

Relating to the contribution to the unemployment insurance fund by employers, the Government unanimously agreed to adjust the unemployment insurance rate from 1% to 0.5% of the monthly salary fund of employees participating in unemployment insurance. The adjustment shall take effect from the validation date of the Resolution of the National Assembly on adjusting the level of contribution to the unemployment insurance fund by employers until the end of December 31st, 2019. Read more

Regarding the price control, the Government agreed to terminate the application of price stabilization measures (control over the maximum price) for dairy products for children under six years old from April 1st, 2017.

×

blue-check Regarding the Government's regular meeting - October 2016

Resolution No. 97/NQ-CP dated November 4th, 2016 of the Government's regular meeting - October 2016
VietlawOnline

One of the noticeable points of this Resolution is that the Government has assigned the Ministry of Labour – Invalids and Social Affairs to study and propose solutions to lower the insurance rate for labor accidents, occupational diseases and unemployment insurance to reduce costs for businesses.

×

blue-check The guidelines for preservation of period of unemployment insurance payment

Dispatch No. 4424/BHXH-ST dated November 6th, 2015 of the Vietnam Social Security on guidelines for preservation of period of unemployment insurance payment
VietlawOnline

The document is to provide the guidelines for preservation of period of unemployment insurance payment applied to the cases of cutting of unemployment benefit and the remaining payment period in which the unemployment benefit is not received Read more

Accordingly, the Social security office of the district where the unemployment benefit is paid shall grant the document which confirms the period of unemployment insurance payment (using the form No. C15-TS) upon the end of the payout period to record the preserved payment period.

Then, if the employee wishes to keep paying social insurance and unemployment insurance premiums, he/she shall submit the aforesaid written confirmation of the unemployment insurance payment period to the Social security office in order to record the preserved payment period into the social insurance book which is used as the basis for the next period of unemployment benefit payout. The preserved unemployment insurance period shall be the payment period beginning from the last payment month before the unemployment benefit is received.

×

blue-check The guidance on unemployment insurance payment and unemployment benefit applicable from 2015

Circular No. 28/2015/TT-BLDTBXH dated July 31st, 2015 of the Ministry of Labor, War Invalids and Social Affairs on guidelines for article 52 of the Law on employment and Decree No. 28/2015/ND-CPstatus2 dated March 12nd, 2015 of the Government on guidelines for the Law on employment in terms of unemployment insurance
VietlawOnline

This Circular provides the guidance on entities that are compulsory to have unemployment insurance, participation duration of unemployment insurance, unemployment insurance premium level and unemployment benefit; job consultancy and placement, supporting employees to take vocational courses and responsibility to make the report on labor situation Read more

In comparison with the earlier provisions, there are new provisions provided in this Circular as follows:

- Duration for each employer to prepare and submit application for unemployment insurance is within 30 days from the date on which the labor contract takes effect (Clause 1 Article 3) instead of 30 working days from the date on which labor contract is conducted (Clause 2 Article 7 of Circular No. 32/2010/TT-BLDTBXHstatus1 )

- A labor contract with duration of between 3 months and shorter than 12 months is also compulsory to have unemployment insurance, in the event that a labor contract has been signed before January 01st, 2015 but by the date, it is still effective with the remaining contract term of 3 months or longer (Clause 3 Article 3)

- The maximum payment level of unemployment insurance premiums is also changed from 2015, it is 20-month’s regional minimum salary (Article 4) instead of 20-month’s common minimum salary (Clause 2 Article 8 of Circular No. 32/2010/TT-BLDTBXHstatus1 )

- The provision on limiting the maximum monthly unemployment benefit is supplemented. Accordingly, the maximum monthly unemployment benefit must not exceed 5-month regional minimum wage or does not exceed 5-month base salary (applicable to employees receiving salaries as prescribed by the State) (Point b Clause 1 Article 8)

- The provision on responsibility to notify the employment service center of labor use situation is supplemented. Accordingly, each employer shall send a notification of labor use situation within 30 days as from the establishment. With respect to enterprise established before October 1st, 2015, it must send a notification within 30 days from October 1, 2015. In addition, if an employer decreases at last 50 employees, it must promptly notify the employment service center (Article 16)

This Circular takes effect from September 15th, 2015. The policies of this Circular shall apply from January 1, 2015. To replace Circular No. 32/2010/TT-BLDTBXHstatus1 dated October 25th, 2010 and Circular No. 04/2013/TT-BLDTBXHstatus1 dated March 01st, 2013.

×

red-check New provisions on unemployment insurance

Decree No. 28/2015/ND-CPstatus2 dated March 12, 2015 of the Government on detailing the implementation of a number of articles on unemployment insurance of the Law on employment
VietlawOnline

This Decree is to detail some issues relating employment insurance, including: support for training courses, refresher courses for improvement of occupational skills for job maintenance for employees; organizations and individuals involved in implementing unemployment insurance policy, etc. Read more

Accordingly, labor contracts with term from 03 full months or longer which are signed from January 01, 2015 are compulsory to participate in unemployment insurance, instead of exemption under earlier provisions

Particularly, labor contracts which are concluded before January 01, 2015 are only compulsory to participate in unemployment insurance if their remaining term is from 3 full months. If the term is less than 3 months, unemployment insurance participation shall be exempted (Clause 2 Article 11)

With respect to employers, they may receive financial support for training and retraining to improve occupational skills qualifications for employees if they meet all the following conditions:

- Having fully paid unemployment insurance premiums under for employees for at least full 12 consecutive months;

- Meeting difficulties due to economic recession or other force majeure causes, forcing them to undergo restructuring or change production and business technologies resulting in risk of reduction of the number of current employees of at least 30%;

- Lacking funds for organizing training and retraining to improve occupational skills qualifications for workers;

- Having a plan on training and retraining to improve occupational skills qualifications for job maintenance, approved by a competent state agency.

The maximum support level shall be 01 million/person/month but it shall not be more than 06 months (Article 4)

This Decree takes effect from May 01, 2015. The regulations provided in this Decree are implemented from January 01, 2015. To replace Decree No. 127/2008 / ND-CP dated December 12, 2008 and Decree No. 100/2012 / ND-CP dated November 21, 2012.

×

blue-check Regarding the submission of additional dossier of unemployment insurance participants

Official letter No. 726/BHXH-THU dated March 10, 2015 of Ho Chi Minh city social insurance agency regarding the implementation of unemployment insurance.
VietlawOnline

The Document is to require enterprises in Ho Chi Minh city to submit additional dossier of unemployment insurance participants towards labor contracts with term of 03 months or longer not later than March 31, 2015. Any delay affecting social insurance and unemployment insurance benefits of laborers shall wholly belong to enterprises’ responsibilities Read more

According to the provisions specified in Employment Law No. 38/2013/QH13, as from January 1, 2015, all laborers who work under labor contracts with term of 03 months or longer must participate in unemployment insurance, regardless of the number of employees in an enterprise

Ho Chi Minh city social insurance department has given official letter No. 4064/BHXH-THU dated February 17, 2014 requiring units employing laborers to review, make procedures for additionally adjusting unemployment insurance participants timely as from January 1, 2015. However, there remaining many enterprises failing to implement

After March 31, 2015, the social insurance agency shall review and increasing adjust unemployment insurance as from January 2015 for laborers as prescribed.

×

blue-check Regarding the payment of unemployment insurance premium from January 2015

Dispatch No. 5471/BHXH-BT dated December 31, 2014 of Vietnam Social Security regarding collection of social insurance premiums, health insurance premiums, unemployment insurance premiums
VietlawOnline

Under Employment Law No. 38/2013/QH13, as from January 2015, compulsory unemployment insurance participants are employees working under labor contracts with term of full 3 months or longer (including probation duration), instead of full 12 months under previous provisions. However, those who are receiving retirement pension, working as house servants are exempt from the payment of unemployment insurance premium Read more

Under this new provision, all employees working under labor contracts with term of 3 months or longer must participate in unemployment insurance, regardless of the number of employees employed in an enterprise

The unemployment insurance premium rate is unchanged; employees shall pay 1% of their monthly salary, enterprises shall pay 1% of monthly salary fund of employees who are participating in unemployment insurance

Monthly salary used as the basis for payment of unemployment insurance premium is the salary used for the payment of compulsory social insurance premium, but must not exceed 20 months’ regional minimum salary

As from January 2015, the regional minimum salary shall comply with Decree No. 103/2014/ND-CPstatus1

×

blue-check Participants and payment rates of compulsory social insurance and unemployment premiums from January 2015

Dispatch No. 4064/BHXH-THU dated December 17, 2014 of Ho Chi Minh city social insurance agency on some changes in the policy on collection of social insurance, health insurance and unemployment insurance premiums from January 01, 2015.
VietlawOnline

The document is to notify enterprises in Ho Chi Minh city of having to register the compulsory unemployment insurance participation for laborers working under the labor contract of full 3 months and longer in enterprises Read more

Under Employment Law No. 38/2013/QH13, from January 1, 2015, laborers who sign the labor contract of full 3 month and longer are compulsory to participate in unemployment insurance, regardless of the number of laborers working in each enterprise. Therefore, from January 2015, those who work under the labor contract of full 3 months and longer shall concurrently participate in compulsory social insurance (SI), health insurance (HI) and unemployment insurance (UI)

The payment rate from January 1, 2015 shall be 32.5%, of which

- Enterprises shall pay 22% (including 18% paid to SI fund, 3% paid to HI fund, and 1% paid to UI fund)

- Laborers shall pay 10.5% (including 8% paid to SI fund, 1.5% paid to HI fund, and 1% paid to UI fund)

Salary used as the basis for the payment is the salary stated in the labor contract but not lower than the regional minimum salary levels. Particularly, the maximum payment rate for UI premium shall be 20 times higher than the basic salary levels or 20 times higher than regional minimum salary levels.

×

stop-check Regarding vocational training support for employees on unemployment allowance

Decision No. 55/2013/QD-TTgstatus1 dated October 03, 2013 of the Prime Minister providing levels of vocational training support for employees on unemployment allowance
VietlawOnline

According to this Decision, levels of vocational training support for employees on unemployment allowance will depend on the time of vocational training Read more

For an employee attending a vocational training course for up to 3 months, the maximum level of support is VND 3,000,000/course

For an employee attending a vocational training course for over 3 months, the maximum level of support is VND 600,000/month

Specific levels of support are calculated by month on the basis of each occupation and the actual training duration, but must not exceed 6 months

Employees shall be supported the cost of vocational training once for one occupation through vocational training institutions. No monetary support will be directly provided for employees

This Decision takes effect on December 1, 2013, and replaces previous regulations on levels of vocational training support for employees on unemployment allowance.

The site vietlawtoday.com is to use for outside of Vietnam only