Under what circumstances are employees in Vietnam eligible for early retirement?

As guided in Article 54 of the Law on Social Insurance 2014, Article 6 of Decree 115/2015/ND-CP, and Article 15 of Circular 59/2015/TT-BLDTBXH, Article 8 of Decree 108/2014/ND-CP (as amended and supplemented by Decree 113/2018/ND-CP), employees in Vietnam may retire before the prescribed age and still receive pension benefits if they have accumulated 20 years of social insurance contributions under the following conditions:

I. Employees, stipulated in points a, b, c, d, g, h, and i, Clause 1, Article 2 of the Law on Social Insurance 2014, have accumulated 20 years or more of social insurance contributions upon retirement in Vietnam:

1. Those suffering from a 61% - 80% reduction in working capacity and meeting the age conditions as follows:

2. Those suffering from a reduction in working capacity of 81% or more and men aged 50 years, women aged 45 years.

3. Those suffering from a reduction in working capacity of 61% or more and have 15 years or more in particularly heavy, hazardous, or dangerous occupations.

4. Men aged from 55 to 60 years, women aged from 50 to 55 years and have 15 years in heavy, hazardous, or particularly heavy, hazardous occupations listed by the Ministry of Labor, War Invalids and Social Affairs and the Ministry of Health or have worked for 15 years in areas with regional allowances of 0.7 or higher.

5. Employees aged from 50 to 55 years and have 20 years of social insurance contributions, of which 15 years involve underground coal mining.

6. Employees infected with HIV/AIDS due to occupational risks.

II. Employees, stipulated in points d and e, Clause 1, Article 2 of the Law on Social Insurance 2014, have accumulated 20 years or more of social insurance contributions upon retirement in Vietnam:

1. Men aged 55 years, women aged 50 years, except for cases stipulated in other laws, such as the Law on Vietnam People's Army Officers, Law on People's Public Security, and Law on Cryptographic professions.

2. Men aged from 50 to 55 years, women aged from 45 to 50 years and have 15 years in heavy, hazardous, particularly heavy and hazardous professions listed by Ministry of Labor, War Invalids and Social Affairs, Ministry of Health or have 15 years or more in areas with regional allowances of 0.7 or higher.

3. Employees infected with HIV/AIDS due to occupational risks.

4. Those suffering from a reduction in working capacity of 61% or more under any of the following circumstances:

- Men aged 50 years or more, women aged 45 years or more;

- Have 15 years or more in particularly heavy, hazardous, dangerous occupations listed by Ministry of Labor, War Invalids and Social Affairs, Ministry of Health.

III. Early retirement policy for employees facing streamlining of staff as stipulated in Article 6 of Decree 108/2014/ND-CP (amended and supplemented by Decree 113/2018/ND-CP):

1. Men aged from 50 to 53 years, women aged from 45 to 48 years, with at least 20 years of social insurance contributions, including 15 years in heavy, hazardous, dangerous occupations or 15 years in areas with regional allowances ≥ 0.7.

These individuals, in addition to the pension benefits provided by social insurance laws, are entitled to the following policies:

- Not subject to pension rate reduction for early retirement;

- Receive a subsidy of 03 months of salary for each year of early retirement compared to the prescribed minimum age;

- Receive a subsidy of 05 months of salary for the first twenty years of service with social insurance contributions. From the 21st year onwards, each year of service with social insurance contributions receives a subsidy of 1/2 month's salary.

2. Men aged over 53 years to under 55 years, women aged over 48 years to under 50 years, with at least 20 years of social insurance contributions, including 15 years in heavy, hazardous, dangerous occupations or 15 years in areas with regional allowances ≥ 0.7, will receive pension benefits provided by social insurance laws and not be subject to pension rate reduction for early retirement.

3. Men aged 55 to 58 years, women aged 50 to 53 years, with at least 20 years of social insurance contributions, will receive pension benefits provided by social insurance laws and policies stipulated in points a, c, Clause 1, Article 8 of Decree 108/2014/ND-CP, as well as a subsidy of 03 months of salary for each year of early retirement.

4. Men aged over 58 years to under 60 years, women aged over 53 years to under 55 years, with at least 20 years of social insurance contributions, will receive pension benefits provided by social insurance laws and not be subject to pension rate reduction for early retirement.

Legal basis:

- Law on Social Insurance 2014;

- Decree 115/2015/ND-CP;

- Circular 59/2015/TT-BLDTBXH;

- Decree 108/2014/ND-CP;

- Decree 113/2018/ND-CP.

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