Legal Newsletter Week 11/08/2023

10 NEW POINTS IN THE DRAFT SOCIAL INSURANCE LAW  

The Ministry of Labor, War Invalids and Social Affairs is collecting comments on the Draft Law on Social Insurance (amended Social Insurance Law No. 58/2014/QH13 dated November 20, 2014). There are 10 new points worth noting as follows: 

1. Adding layers of social pension benefits, forming a multi-layer social insurance system 

In addition to the basic social insurance layer (compulsory social insurance, voluntary social insurance), the pension insurance layer is added to form a multi-layer social insurance system, and at the same time add regulations on the link between the social pension benefit layer. with basic social insurance layer to expand beneficiaries of social insurance regime. 

2. Additional subjects participating and enjoying social insurance benefits 

Expanding participants to include business owners, business managers, cooperative managers who do not receive salary and employees working under flexible regimes (employees who work part-time). time) participate and enjoy 5 compulsory social insurance regimes. In addition, the Draft Law also adds the right to enjoy sickness and maternity benefits for people working part-time in communes, wards and towns. 

3. Add maternity benefits to the voluntary social insurance policy 

The draft stipulates that employees participating in voluntary social insurance when giving birth have the opportunity to receive maternity benefits. The payment source will be guaranteed by the state budget and participants in voluntary social insurance do not have to pay extra. with current regulations. 

4. Reduce the minimum number of years of social insurance payment to receive pension from 20 years to 15 years 

This regulation is intended to create an opportunity for those who join late or those who join intermittently and have not yet accumulated 20 years of social insurance contributions at retirement age to also enjoy a monthly pension.  

5. Regulations on one-time social insurance benefits 

The draft asks for opinions with 02 options: 

– Option 1: After 12 months, you are not eligible to participate in compulsory social insurance, do not participate in voluntary social insurance, and have paid social insurance for less than 20 years ( remaining the current regulations of Law and Resolution 93/2015/QH13); 

– Option 2: After 12 months of not participating in compulsory social insurance, not participating in voluntary social insurance and having a social insurance payment period of less than 20 years, if the employee requests, it will be partially resolved but at most no more than 50% of the total time paid into the retirement and survivorship fund. The remaining social insurance payment period is reserved and recorded in the social insurance book so that employees can continue to participate and enjoy social insurance benefits. 

 6. Regulations on salary as a basis for paying compulsory social insurance 

The draft has been put forward for comments with 02 options: 

Option 1: The salary used as the basis for paying social insurance is the monthly salary including salary and salary allowances, other additional amounts that can be determined specifically along with the salary agreed in the labor contract according to regulations. of labor law. 

Option 2: The salary used as the basis for paying social insurance is the monthly salary including salary and salary allowances, other supplements according to the provisions of labor law (Compared to option 1, option 2 will include including salary allowances and other supplements associated with the employee’s work process and job performance results). 

7. Supplementing regulations allowing the calculation of pension rates for people with less than 20 years of social insurance payment and recognition of social insurance payment period according to international treaties that Vietnam has signed and participated in. family 

8. Supplementing regulations on management of social insurance collection and payment and additional measures to handle evasion of social insurance payment 

9. Amend and supplement regulations on one-time benefits upon retirement to encourage employees to continue paying social insurance after retirement age 

10. Electronic social insurance book