Working for a Business Household: Eligibility for Social Insurance Contributions?

Pursuant to the provisions of Article 2 of the Social Insurance Law 2014, excluding cases of employees working in state agencies, armed forces units, socio-political organizations, and foreign employees working in Vietnam, the remaining employees (those working in non-state sectors) must participate in social insurance when working under one of the following types of labor contracts:

- Indefinite-term labor contract,

- Fixed-term labor contract,

- Seasonal labor contract or a specific job contract with a term from 03 months to less than 12 months, including labor contracts signed between the employer and the legal representative of persons under 15 years old as prescribed by labor law;

- Labor contract with a term from 01 month to less than 03 months

Thus, the criterion to determine whether the employee is subject to mandatory social insurance participation will be based on the type of labor contract signed between the employer and the employee, not based on whether the employer is an enterprise or a business household.

Therefore, if employing labor under one of the aforementioned types of contracts, your business household must register for social insurance participation for the employees.

Note: From January 1, 2021, the Labor Code 2019 officially takes effect, abolishing the seasonal labor contract or a specific job contract with a term of less than 12 months. Accordingly, the subjects of mandatory social insurance participation also change. Please follow and update this regulation change to understand it more clearly.

Respectfully!