Vietnam: The number of years of social insurance premium payment required for enjoyment of pension upon increase in the retirement age

Vietnam: The number of years of social insurance premium payment required for enjoyment of pension upon increase in the retirement age (Illustrative image)

According to the provisions of the Law on Social Insurance 2014, employees are eligible for a pension when they meet the following requirements:

- Requirements regarding retirement age in specific labor conditions are as follows:

- Male employees aged 60, female employees aged 55 in normal labor conditions;

- Male employees aged between 55 and 60, female employees aged between 50 and 55, and having worked for 15 years in heavy, hazardous, dangerous, or particularly heavy, hazardous, dangerous occupations or jobs as listed by the Ministry of Labor - Invalids and Social Affairs and the Ministry of Health, or having worked for 15 years in areas entitled to regional allowances of a coefficient of 0.7 or higher;

- Employees aged between 50 and 55, having 20 years of social insurance premium payment, of which 15 years are spent in coal mining in underground mines;

- Persons infected with HIV/AIDS due to occupational accidents.

- Requirements regarding the number of years of social insurance premium payment: Employees in Vietnam must have at least 20 years of social insurance premium payment upon retirement.

Thus, according to the provisions of the Law on Social Insurance 2014, in normal labor conditions, the retirement age is 60 for males and 55 for females. However, in the Labor Code 2019, the retirement age regulations have been adjusted as follows:

- The retirement age of employees in normal labor conditions will be adjusted progressively until reaching 62 years for male employees in 2028 and 60 years for female employees in 2035.

- From 2021, the retirement age of employees in normal labor conditions will be 60 years and 3 months for male employees and 55 years and 4 months for female employees; thereafter, the retirement age will increase by 3 months each year for male employees and 4 months each year for female employees.

Regarding the number of years of social insurance premium payment required for enjoyment of pension, no new regulations have replaced the provisions of the Law on Social Insurance. Therefore, the existing contribution years will continue to apply. However, to enable older employees with fewer years of social insurance premium payment to access and enjoy social insurance benefits, the State is moving towards gradually reducing the minimum number of years of social insurance premium payment from 20 years to 15 years, and eventually to 10 years according to Resolution 28 NQ/TW.

Thuy Tram

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