Mandatory social insurance is a type of social insurance organized by the State that employees and employers must participate in, including: sickness; maternity; occupational accidents, occupational diseases; retirement and death gratuity.
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Employees and Employers must contribute Social Insurance premiums as stipulated, and these contributions are calculated based on the employee's monthly salary.
Recently, the Government of Vietnam issued Decree 44/2017/ND-CP regulating the reduction of ½ the contribution rate to Social Insurance for Employers into the Labor Accident and Occupational Disease Insurance Fund starting from June 1, 2017. Specifically: The contribution rate into the Labor Accident and Occupational Disease Insurance Fund for employers will be reduced from 1% to 0.5% of the salary fund used as a basis for paying Social Insurance.
As such, the contribution rates and responsibilities for paying Social Insurance of Employees and Employers according to the new regulations are as follows:
| Contribution Content | Employer Contribution | Employee Contribution |
| Component Funds of Social Insurance | ||
| + Sickness and Maternity | 3% | - |
| + Labor Accident and Occupational Disease | 0.5% | - |
| + Retirement and Survivors' Benefits | 14% | 8% |
| Unemployment Insurance | 3% | 1.5% |
| Health Insurance | 1% | 1% |
| Trade Union Fees (if applicable) | 2% | - |
| Total | 23.5% | 10.5% |
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