Correcting the pension policy of a 93-year-old man: Clearly a disadvantage, but not easy to adjust

Clearly disadvantaged

According to the Deputy Director of the Department of Labor, Invalids and Social Affairs, Mr. Vi Ngoc Quynh, recently, Mr. Pham Anh Tuan, 93 years old, residing in Quy Hop town, Quy Hop district, continued to submit the 5th petition to the authorities requesting to resolve the disadvantages regarding the pension regime. After receiving the petition, the Department of Labor, Invalids and Social Affairs requested the provincial Social Insurance to coordinate in checking and reviewing the documents and State policies of the periods to resolve the matter.

On November 6, 2019, the provincial Social Insurance Department issued Document No. 2745/BHXH-CĐBHXH regarding the inspection and settlement of Mr. Pham Anh Tuan's pension petition sent to the Department of Labor, Invalids and Social Affairs. Therefore, the Department of Labor, Invalids and Social Affairs invited relevant agencies and Mr. Tuan's relatives to dialogue and find a solution.

Document No. 2745/BHXH-CĐBHXH of the provincial Social Insurance was made public by the Department of Labor, Invalids and Social Affairs at the dialogue. It stated: Mr. Pham Anh Tuan was the former Store Manager of Quy Hop Pharmacy Store, enjoying retirement benefits since August 1, 1971 with an actual working time of 22 years and 7 months, the main salary upon retirement was 56 VND, the percentage used as the basis for calculating pension benefits was 75%.

Deputy Director of the Department of Labor, Invalids and Social Affairs, Mr. Vi Ngoc Quynh concluded at the dialogue. Photo: Nhat Lan

Regarding the salary adjustment process: In September 1985, implementing Decree 236/HDBT dated August 19, 1985 of the Council of Ministers; Point a, Clause 1, Section C of Circular No. 48-TBXH dated September 30, 1985 of the Ministry of War Invalids and Social Affairs; Salary sheet attached to Official Dispatch No. 249/TBXH dated October 3, 1985 of the Ministry of War Invalids and Social Affairs, the Department of War Invalids and Social Affairs adjusted the salary level used as the basis for calculating pension in Adjustment Form No. 34064 of 1985 (no date) from 56 VND to 281 VND. On March 20, 1987, due to the work process, the title was recorded as Officer of Nghe An State Pharmaceutical Company, the Department of Labor, War Invalids and Social Affairs adjusted the salary in Adjustment Form No. 5393/BHXH, from the salary level of 281 VND to 272 VND.

On May 5, 1994, implementing Article 3 of Decree 27/CP dated May 23, 1993, the Department of Labor, Invalids and Social Affairs adjusted the salary increase in the Adjustment Form without number from 281 VND to 346 VND. On July 14, 1995, implementing Clause 1, Article 1 of Decree No. 27/CP dated May 23, 1993, the People's Committee of Quy Hop district, when calculating the salary adjustment according to Decree 05, calculated the salary increase by 120%. When implementing the salary adjustment for positions in Article 3 of Decree No. 27/CP dated May 23, 1993 of the Government, in the Adjustment Form (without number) dated May 5, 1994 of the Department of Labor, Invalids and Social Affairs, the salary adjustment was recorded from 281 VND to 346 VND. However, at that time, the salary used as the basis for calculating the pension that Mr. Tuan was receiving was 272 VND.

Pension adjustment document according to Decree 27 of Mr. Pham Anh Tuan.

Regarding the salary reassignment according to enterprise rank: The salary of 346 VND that Mr. Pham Anh Tuan is receiving is level 2, class III, salary table C6 - Salary table for managers of the Union of Enterprises, Corporations, Companies and Enterprises in the fields of commerce and services (including hotels, restaurants, pharmacies, bookstores). According to Mr. Pham Anh Tuan's petition, the salary adjustment to 374 VND, class II, salary table C6 should be considered. According to the provisions of Point C, Section 1, Official Dispatch No. 2271/BTXH dated July 6, 1993 of the Ministry of Labor, Invalids and Social Affairs on the implementation of Decree No. 27/CP, in order to have a basis for considering the salary reassignment for Mr. Pham Anh Tuan, it is necessary to determine what rank the Nghe Tinh Pharmaceutical Union Enterprise (before 1985 was the Nghe An Pharmaceutical State Enterprise, now the Nghe An Pharmaceutical and Medical Supplies Joint Stock Company) was ranked from 1985 to 1993. However, the unit's rank has not yet been determined.

Also in Document No. 2745/BHXH-CĐBHXH, the provincial Social Insurance informed that, based on the records and data of pensioners in the whole province, through inspection, there were 4 pension records with the time of receiving pension before 1985, the position before retirement was equivalent to Mr. Tuan's position, the working unit before retirement was Nghe Tinh Pharmaceutical Union Enterprise. Of which, 2 people were former Heads of district-level pharmaceutical stores; 2 people were former Heads of Departments and Heads of Departments of Nghe Tinh Pharmaceutical Union Enterprise. Of these, 3 people in 1985 had their salaries transferred according to Decree 236 at the rate of 333 VND; by 1993, their salaries were transferred according to Decree 27/CP at the rate of 374 VND, which is level 2, class II, salary table C6. One person received pension in 1984; by 1985, his salary was transferred according to Decree 236 at the rate of 322 VND; In 1993, the salary was changed to Decree 27/CP with a salary of 420 VND, level 2, class II, (Deputy Director's salary), salary table C6.

Before the information in Document No. 2745/BHXH-CĐBHXH of the provincial Social Insurance, representatives of relevant agencies all agreed to determine that Mr. Pham Anh Tuan was disadvantaged in terms of pension benefits.

Wait until when?

Chairing the dialogue, Deputy Director of the Department of Labor, Invalids and Social Affairs, Mr. Vi Ngoc Quynh affirmed that Mr. Pham Anh Tuan was disadvantaged in terms of pension. The issue to be discussed is to find a basis with sufficient legality to make adjustments. Because the 4 retirement profiles that the provincial Social Insurance has reviewed are only for reference, helping to determine Mr. Tuan's disadvantage. And because the basis for considering salary reassignment for Mr. Pham Anh Tuan needs to be implemented as stated by the provincial Social Insurance in Document No. 2745/BHXH-CĐBHXH, Mr. Vi Ngoc Quynh concluded to assign the specialized department of the Department of Labor, Invalids and Social Affairs to draft a document requesting the Department of Health and Nghe An Pharmaceutical and Medical Supplies Joint Stock Company to provide information on the business class of Nghe Tinh Pharmaceutical Union Enterprise (from 1985 to 1993).

In case the Department of Health and Nghe An Pharmaceutical and Medical Supplies Joint Stock Company can provide information on the business class of Nghe Tinh Pharmaceutical Union Enterprise, this will be the basis for adjusting the pension for Mr. Pham Anh Tuan. In case the Department of Health and Nghe An Pharmaceutical and Medical Supplies Joint Stock Company cannot determine the business class, the Department of Labor, Invalids and Social Affairs will have a document detailing the relevant contents to report to the Provincial People's Committee; in which, it will recommend that the Provincial People's Committee send a document to the Ministry of Labor, Invalids and Social Affairs to request consideration and provide a solution.

Document No. 2745/BHXH-CĐBHXH of Nghe An Provincial Social Insurance.

Before the conclusion of the chair, the representative of Mr. Pham Anh Tuan's relatives, Ms. Pham Thi Tuyet, expressed her concern. Because Mr. Pham Anh Tuan is 93 years old, in poor health; while the authorities are very slow in resolving citizens' petitions.

In fact, Ms. Pham Thi Tuyet's concerns are well-founded. Because regarding Mr. Pham Anh Tuan's petition, since December 2017, the Department of Labor, Invalids and Social Affairs has sent a document to the Ministry of Labor, Invalids and Social Affairs asking for instructions. However, nearly 2 years later, on November 18, 2019, the Ministry of Labor, Invalids and Social Affairs has just issued Official Dispatch No. 4916/LĐTBXH-BHXH in response. Here, the Ministry of Labor, Invalids and Social Affairs requested the Department of Labor, Invalids and Social Affairs to coordinate with the provincial Social Insurance and the agencies managing Mr. Pham Anh Tuan before his retirement and related agencies to inspect, review and specifically conclude on the enterprise class to recalculate Mr. Pham Anh Tuan's pension.

Regarding this incident, Nghe An Newspaper has recently published a number of articles in print and electronic newspapers. Therefore, the Department of Labor, Invalids and Social Affairs invited the dialogue. When the host asked for opinions, the reporter of Nghe An Newspaper confirmed that the achievement of the dialogue was to determine that Mr. Pham Anh Tuan had suffered a loss of pension benefits for many years. Regarding the adjustment, it will be necessary to ensure compliance with the provisions of the law. However, Mr. Pham Anh Tuan has continuously submitted petitions for many years, and he is now too old, so we request the leaders of the Department of Labor, Invalids and Social Affairs to direct the specialized department to urgently implement the concluded contents...

Mr. Pham Anh Tuan and his daughter - Mrs. Pham Thi Tuyet. Photo: Nhat Lan

On December 24, 2019, according to an official of the Department of Labor, Invalids and Social Affairs, the Department of Health responded in writing that there were no records or documents on the Nghe Tinh Pharmaceutical Union Enterprise, so it was impossible to determine the enterprise class of this unit. As for the Nghe An Pharmaceutical and Medical Supplies Joint Stock Company, there has not yet been a written response. This official said: “The Department's leaders are also urging. I just called the Pharmaceutical and Medical Supplies Joint Stock Company to remind them to urgently check and respond specifically in writing. There will probably be a response in a few days…”.