Support for employees and employers affected by Covid-19 from the Unemployment Insurance Fund

Cash support for workersaffected by the COVID-19 pandemic from the Unemployment Insurance Fund balance

The subjects of application are employees participating in unemployment insurance as of September 30, 2021 (excluding employees working at State agencies, political organizations, socio-political organizations, people's armed forces units and public service units whose regular expenditures are guaranteed by the State budget).

Employees who have stopped participating in unemployment insurance due to termination of their labor contract or employment contract between January 1, 2020 and September 30, 2021 will have their unemployment insurance payment period reserved according to the provisions of the law on employment, excluding monthly pensioners.

The level of support is based on the period of unemployment insurance payment without unemployment benefits of the employee, specifically as follows:

- Unemployment insurance payment period under 12 months: support 1,800,000 VND/person.

- Unemployment insurance payment period from 12 months to less than 60 months: support 2,100,000 VND/person.

- Unemployment insurance payment period from 60 months to less than 84 months: support 2,400,000 VND/person.

- Unemployment insurance payment period from 84 months to less than 108 months: support 2,650,000 VND/person.

- Unemployment insurance payment period from 108 months to less than 132 months: support 2,900,000 VND/person.

- Unemployment insurance payment period of 132 months or more: support 3,300,000 VND/person.

Funding source: about 30,000 billion VND from the Unemployment Insurance Fund balance until the end of 2020.

The support for workers will be implemented from October 1, 2021 and completed no later than December 31, 2021.

Reduced contribution to the FundUnemployment insurancefor employersaffected by the COVID-19 pandemic

The subjects of application are employers specified in Article 43 of the Law on Employment (excluding State agencies, political organizations, socio-political organizations, people's armed forces units and public service units whose regular expenditures are guaranteed by the State budget) participating in unemployment insurance before October 1, 2021.

Contribution reduction: Employers are allowed to reduce their contribution from 1% to 0% of the monthly salary fund of employees who are eligible to participate in unemployment insurance.

Implementation period for reduction of contribution level: 12 months, from October 1, 2021 to September 30, 2022.

The Agricultural Trade Union visited and supported workers implementing "3 on-site" at Nghe An Seafood Joint Stock Company. Photo: PV

The Resolution clearly states: This policy aims to help workers overcome difficulties, stabilize their lives, prevent labor supply chain disruptions and labor shortages; support employers in reducing costs, making efforts to adapt to the new normal, maintaining production and business, and creating jobs for workers.

At the same time, promoting the role of unemployment insurance policy as a support for employees and employers. Thereby, demonstrating the concern and sharing of the Party and State for employees and employers affected by the COVID-19 pandemic.

Provide timely, targeted, public, transparent and effective support

The Resolution clearly states that support for employees and employers from the Unemployment Insurance Fund ensures the principles of contribution - benefit, sharing and fairness for employees and employers participating in unemployment insurance.

The implementation of the policy is based on the overall balance of State resources, funds, and other support sources. It takes into account differences and prioritizes certain subjects affected by the COVID-19 pandemic.

Support for employees and employers must be simple, timely, targeted, public, transparent and effective; it does not apply to those who voluntarily do not receive support.

The Government requests the Ministry of Labor, War Invalids and Social Affairs to preside over and coordinate with relevant agencies to submit to the Prime Minister for promulgation a Decision to implement policy contents according to simplified procedures; direct, guide, inspect and urge the Vietnam Social Security and localities to implement the Government's Resolution and the Prime Minister's Decision. Propose to the Government and the Prime Minister solutions to remove difficulties and obstacles that arise.

The Ministry of Finance shall submit to the Prime Minister for consideration and adjustment of the estimates of revenue, expenditure and unemployment insurance management costs according to regulations.

Checking workers' body temperature before entering work at Bac Vinh Industrial Park. Photo: MH

Vietnam Social Security shall coordinate with the Ministry of Labor, War Invalids and Social Affairs to develop and submit to the Prime Minister for promulgation a Decision on implementing the Resolution; organize the implementation of policies according to the provisions of this Resolution and promptly report to the Ministry of Labor, War Invalids and Social Affairs any difficulties and problems to submit to competent authorities for consideration and resolution.

The Ministry of Information and Communications shall preside over and coordinate with the Central Propaganda Department, ministries, central and local agencies, news agencies and press to widely disseminate and propagate this Resolution.

The Government requests the Central Committee of the Vietnam Fatherland Front, the Vietnam General Confederation of Labor, organizations representing employers, and socio-political organizations to participate in disseminating, mobilizing, and supervising the implementation of the Resolution.