Hanoi-Vietnam: Occupational accident benefits

Conditions for enjoying occupational accident benefits in Vietnam:

According to regulations, employees are entitled to occupational accident benefits when they meet the following conditions:

- In the event of an accident occurring under one of the following cases:

- At the workplace and during working hours;

- Outside the workplace or outside working hours while performing tasks at the request of the employer;

- On the route from the residence to the workplace within a reasonable time and route;

- A reduction in work capacity by 5% or more due to the accident and complete certification documents from the hospital regarding the health status and the percentage of the reduced work capacity.

Occupational accident benefits in Vietnam:

Under the Labor Code 2012, the person who suffers from an occupational accident will be covered by the employer to pay the following expenses:

- For employees participating in health insurance: Pay for the copayment part and any expenses not covered by the health insurance fund;

For employees not participating in health insurance: Pay all medical costs from first aid and emergency to stable treatment.

- In case employees belong to the compulsory social insurance group and the employer has not yet paid social insurance ( for the social insurance agency, the employer must pay an amount equivalent to the occupational accident benefit as stipulated in the Social Insurance Law.

- Pay full salary according to the employment contract for employees suffering from an occupational accident who are on leave for treatment, including the treatment period when the employment contract expires.

- Compensation for employees suffering from occupational accidents.

Employees who suffer from occupational accidents not due to their own fault and have a reduction in work capacity by 5% or more will be compensated by the employer as follows:

- At least equal to one and half month’s wage stipulated in the employment contract in case of losing between 5% and 10% of the working ability, then an additional 0.4 month’s wage stipulated in the employment contract for every increase of 1% in case of losing between 11% and 80% of the working ability;

- At least equal to 30 months’ wage stipulated in the employment contract in case of losing 81% or more of the working ability, or to family members of the employee who dies from an occupational accident.

If the occupational accident is due to the employee’s fault, the employee will receive an allowance of at least 40% of the above compensation.

Particularly, the employer shall not unilaterally terminate the employment contract with the employee suffering from an occupational accident; termination of the employment contract can only occur when the employee’s health recovers and there is an agreement between the employer and the employee regarding the termination of the employment contract as prescribed by law.

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