07:57 | 20/08/2024

A fine up to VND 75,000,000 may be imposed to the employer failing to pay occupational accident insurance in Vietnam

I am a worker for the construction company. Recently, I had an occupational accident but the company did not pay the insurance policies for me. Will my company be penalized? Thank you!

What responsibilities must employers implement to ensure occupational safety and hygiene in the workplace in Vietnam?

Based on Article 16 of the 2015 Law on Occupational Safety and Hygiene, the following regulations are set forth:

“Article 16. Employer responsibilities in ensuring occupational safety and hygiene in the workplace

1. Ensure that the workplace meets the requirements regarding space, ventilation, dust, vapor, toxic gas, radiation, electromagnetic fields, heat, humidity, noise, vibration, hazardous elements, and other harmful factors as stipulated in the relevant technical standards, and periodically inspect and measure these factors; ensure sufficient bathing and restroom facilities at the workplace, as regulated by the Minister of Health.

2. Ensure that the machines, equipment, materials, and substances are used, operated, maintained, and stored at the workplace according to technical regulations on occupational safety and hygiene or meet published technical standards on occupational safety and hygiene and comply with internal rules and procedures ensuring occupational safety and hygiene at the workplace.

3. Provide workers with adequate personal protective equipment when performing tasks that involve hazardous or harmful elements; equip the workplace with safety and hygiene facilities.

4. Annually, or as necessary, organize inspections and evaluations of hazardous and harmful elements in the workplace to implement technological and technical measures to eliminate or minimize these elements, improve working conditions, and care for workers’ health.

5. Periodically inspect and maintain machines, equipment, materials, substances, factories, and warehouses.

6. Have warning signs and guides in Vietnamese and the common language of the workers regarding occupational safety and hygiene for machines, equipment, materials, and substances that require stringent occupational safety and hygiene measures at the workplace, storage places, and usage places, positioned for easy reading and visibility.

7. Educate, disseminate, or train workers on regulations, internal rules, and procedures about occupational safety and hygiene and on measures to prevent hazardous and harmful elements related to the assigned work and duties.

8. Develop and issue plans for incident response and emergency rescue at the workplace; organize handling of incidents and emergency rescues, establish rescue forces, and promptly report to responsible persons when there is a risk or occurrence of occupational accidents or technical incidents causing unsafe and unhygienic conditions at the workplace beyond the employer’s control.”

Therefore, employers are responsible for ensuring occupational safety and hygiene as regulated above.

Violation of employer responsibilities regarding labor accidents

Employers who fail to pay occupational accident insurance policies can be fined up to 75,000,000 VND? (Image from the Internet)

What are responsibilities of employers when workers experience occupational accidents in Vietnam?

Based on Article 38 of the 2015 Law on Occupational Safety and Hygiene, the following regulations are set forth:

“Article 38. Employer responsibilities to workers experiencing occupational accidents and occupational diseases

Employers have the following responsibilities to workers who suffer from occupational accidents or occupational diseases:

1. Provide immediate first aid and emergency treatment to workers injured in occupational accidents and prepay for first aid, emergency, and treatment costs for workers injured in occupational accidents or suffering from occupational diseases;

2. Pay medical expenses from first aid and emergency treatment to stabilization for workers injured in occupational accidents or suffering from occupational diseases as follows:

a) Pay the co-payment and expenses not covered by health insurance for workers participating in health insurance;

b) Pay for medical assessment of labor capacity reduction if the conclusion is that the reduction is less than 5%, if the employer has referred the worker for the assessment at the Medical Assessment Council;

c) Cover all medical expenses for workers not participating in health insurance;

10. The salary used to implement compensation and allowance policies, as well as paying wages to workers taking leave due to occupational accidents or occupational diseases, as stipulated in clauses 3, 4, and 5 of this Article, includes the wage level, wage allowances, and other additional items as regulated by labor law.

11. The Minister of Labor, Invalids, and Social Affairs shall detail clauses 3, 4, and 5 of this Article.”

Therefore, employers must fulfill their responsibilities to workers involved in occupational accidents as regulated above.

What are the penalties for violation of employer responsibilities regarding occupational accidents in Vietnam?

Based on Article 23 of Decree 12/2022/ND-CP, the following regulations are set forth:

“Article 23. Violations of regulations on employer responsibilities regarding occupational accidents and occupational diseases

1. A fine of 2,000,000 VND to 4,000,000 VND per worker, but not exceeding 75,000,000 VND in total, shall be imposed on employers for one of the following acts:

a) Failing to promptly provide first aid or emergency treatment to workers injured in occupational accidents;

b) Failing to pay the co-payment or expenses not covered by health insurance for workers injured in occupational accidents or suffering from occupational diseases who participate in health insurance;

c) Failing to prepay for first aid, emergency treatment, or pay all medical expenses from first aid and emergency treatment to stabilization for workers not participating in health insurance;

d) Failing to refer workers injured in occupational accidents or suffering from occupational diseases for medical assessment to determine the reduction in labor capacity, ensuring treatment, rehabilitation, and recovery functions as stipulated by law;

đ) Failing to pay for the medical assessment of labor capacity reduction under the employers’ responsibility as prescribed by law;

e) Failing to properly, sufficiently, or timely perform compensation or allowance policies for workers injured in occupational accidents or suffering from occupational diseases as prescribed by law.

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3. Remedial measures

a) Compel employers to pay the co-payment and expenses not covered by health insurance for workers injured in occupational accidents or suffering from occupational diseases who participate in health insurance for violations under point b, clause 1 of this Article;

b) Compel employers to pay all medical expenses from first aid and emergency treatment to stabilization for workers injured in occupational accidents or suffering from occupational diseases not participating in health insurance for violations under point c, clause 1 of this Article;

c) Compel employers to refer workers injured in occupational accidents or suffering from occupational diseases for medical assessment to determine the reduction in labor capacity, ensuring treatment, and recovery functions as stipulated by law for violations under point d, clause 1 of this Article;

d) Compel employers to pay for the medical assessment of labor capacity reduction for cases where the reduction is less than 5% for workers referred by the employer to the Medical Assessment Council for violations under point đ, clause 1 of this Article;

đ) Compel employers to pay workers the compensation or allowances, plus interest calculated at the highest interest rate for non-term deposits announced by state-owned commercial banks at the time of penalty imposition, for violations under point e, clause 1 of this Article.”

Employers who violate responsibilities regarding occupational accidents and occupational diseases will face administrative penalties as outlined above. Specifically, employers who fail to pay occupational accident insurance policies can be fined up to 75,000,000 VND.

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