Nghe An deploys disbursement of loan package to pay salaries for work stoppages due to Covid-19 pandemic

Timely disbursement, hholetrbelchnguhishuhdmoundlabordegreeng

Recently, Tan Dai Minh Trading and Service Company Limited in Hung Phuc ward, Vinh city has accessed the policy and receiveddisbursement of capitalfrom the employer loan program to pay severance pay for employees. It is known that the enterprise has 72 employees working in the field of preschool education. Due toCovid epidemic-19 so educational activities are suspended, affecting business revenue, workers' income,...

Representative of Tan Dai Minh Trading and Service Company Limited in Vinh city carries out loan disbursement procedures. Photo: Viet Phuong

Mr. Pham Anh Duc Huyen - Director of the company said: We have known about the Social Policy Bank mainly through newspapers and television, and have not had the opportunity to contact and work directly with the Social Policy Bank. Up to now, due to the impact of the Covid-19 pandemic, the enterprise has fallen into a difficult situation, forcing employees to temporarily stop working but still have to pay salaries to ensure the minimum living standard for those employees. We are extremely grateful for the attention of the Party and the State, socio-political organizations and especially the Social Policy Bank for enthusiastically helping and creating the most favorable conditions for enterprises to access this policy credit capital. On November 18, the enterprise received a loan disbursement of nearly 350 million VND.

During the difficult time, the staff of the Social Policy Bank proactively came to me, propagandized, reviewed the conditions and subjects, and enthusiastically guided me to complete the loan application in a convenient and quick way. After being guided by the staff, we completed the loan application, and the Social Policy Bank disbursed the loan to pay the workers' salary during the suspension of work. Immediately after receiving the disbursement, we will immediately pay the salary to the workers during the suspension of work due to the impact of the Covid-19 pandemic.

Mr. Pham Anh Duc Huyen - Director of Tan Dai Minh Trading and Service Company Limited

According to Instruction No. 5446/HD-NHCS dated October 20, 2020 of the Vietnam Bank for Social Policies, customers are approved for loans when they meet the following conditions: Having employees participating in compulsory social insurance who must stop working for 01 consecutive month or more during the period from April 1, 2020 to December 31, 2020; Having revenue in the first quarter of 2020 decreased by 20% or more compared to the fourth quarter of 2019 or revenue in the quarter immediately before the time of consideration decreased by 20% or more compared to the same period in 2019; Having no bad debts at credit institutions or foreign bank branches as of December 31, 2019.

Eligible customers will be able to borrow up to 01 month of 01 customer equal to 50% of the regional minimum wage (x) the number of employees who have been laid off and each customer can borrow for no more than 03 months in the period from April 1, 2020 to December 31, 2020, with an interest rate of 0%, a term of 12 months, and an overdue interest rate of 12%/year. The disbursement of the Social Policy Bank will be carried out until January 31, 2021.

Focus on implementing chính sahch

In 2020, the Covid-19 pandemic broke out globally, severely affecting all economic and social aspects of countries around the world, including Vietnam. Major economies such as the US, Japan, and the European Union also faced the deepest economic recession in decades; global trade continued to decline, supply chains were disrupted, unemployment increased, etc.

Customers transact at the Social Policy Bank, Nghe An branch. Photo: Viet Phuong

In that situation, on October 19, 2020, the Government issued Resolution No. 154/NQ-CP amending and supplementing Resolution No. 42/NQ-CP dated April 9, 2020 on measures to support people facing difficulties due to the Covid-19 pandemic; The Prime Minister issued Decision No. 32/2020/QD-TTg amending and supplementing a number of articles of Decision No. 15/2020/QD-TTg on the implementation of policies to support people facing difficulties due to the Covid-19 pandemic. After the Prime Minister issued Decision No. 32/2020/QD-TTg, the Vietnam Bank for Social Policies issued guiding document No. 5446/HD-NHCS dated October 20, 2020 on the implementation of loans for employers to pay wages for employees during suspension of work.

Mr. Nguyen Van Vinh - Deputy Director of the Social Policy Bank, Nghe An branch, said: In order to promptly implement the policy of supporting employers to borrow capital to pay for workers' suspension of work, ensuring timeliness, efficiency, compliance with regulations, publicity, transparency, and not to take advantage of or profit from the policy, the branch has promptly implemented documents related to lending to pay for suspension of work, ... in coordination with the Labor Federation, socio-political organizations, and local newspapers to propagate and disseminate loan support policies.

The Covid-19 epidemic has affected many businesses. In the photo: Garment production at the industrial park in Dien Chau. Photo: Viet Phuong

The branch assigns staff to proactively approach employers, especially businesses, schools, and production facilities to propagate, review subjects, answer questions about conditions, loan subjects, and grasp loan needs. After reviewing, for employers who are eligible for loans, the Social Policy Bank guides employers to prepare documents and complete necessary procedures to disburse loans in the most convenient way.

Customers self-declare and are responsible before the law for the accuracy and honesty of the number of employees who have stopped working and the data determining revenue that meets the loan conditions as prescribed in Decision No. 32/2020.

The policy of supporting employers to borrow capital to pay wages for workers during the suspension of work is one of the policies of high humanitarian significance, demonstrating the timely concern of the Party and State in the face of the common difficulties of the country in the context of the Covid-19 pandemic.

“In the coming time, the Social Policy Bank hopes to receive the attention of agencies, departments and branches, especially the Fatherland Front Committee, to preside over and supervise the implementation of the policy of supporting loans to pay for workers' salary suspension, promptly reflect information on individuals, agencies, organizations and enterprises that take advantage of the policy to handle it according to regulations; Request the Women's Union, Farmers' Association, Veterans Association, Ho Chi Minh Communist Youth Union to strengthen coordination and propaganda on policies and guidelines to support employers to borrow capital to pay for workers' salary suspension.severance pay"Let workers at all levels, sectors, business community, members and people know and organize implementation" - Mr. Nguyen Van Vinh - Deputy Director of the People's Credit Fund, Nghe An branch emphasized.