Report of Late Labor Reduction: Is It Required to Pay Health Insurance for That Month for the Worker?

Pursuant to the provisions at Point 2.1 Clause 2 Article 50 of Decision 595/QD-BHXH of 2017 and referring to Point 9.6 Section 9, Point 10 Section 10.3 of Official Dispatch 1734/BHXH-QLT of 2017:

When there is a reduction in the number of employees, the unit must promptly prepare a list to report the reduction and send it to the Social Insurance agency via the electronic transaction system within the same month (up to the last day of that month). To facilitate the management and monitoring of the file for reduction or adjustment cases, the enterprise can perform this once a month.

The enterprise can report reductions for the following month starting from the 28th of the preceding month, but once the reduction has been reported, there cannot be any retroactive reports for the preceding month.

In the event that the unit prepares the reduction report late, the unit must pay the health insurance premiums for the months reported late, and the health insurance card will be valid until the end of those months.

Therefore, according to the above regulation in relation to your case, your enterprise terminated the labor contract with the employee from June 2020 but only carried out the procedure for reporting the labor reduction in August 2020. As such, you must pay the health insurance premiums for the months of the late report, and the employee’s health insurance card will be valid until the end of August 2020. The information you received from the insurance agency is entirely accurate.

Respectfully!