Vietnam: Amending regulation on application, procedures for loan to provide suspension pay for workers due to Covid-19

According to Clause 6 Article 1 of the Decision No. 32/2020/QĐ-TTg of the Prime Minister of Vietnam, amending Article 15 of the Decision No. 15/2020/QĐ-TTg, application, procedures for loan, loan approval and disbursement are as follows:

1. Application for loan

+ Written application using form attached to Decision No. 15/2020/QĐ-TTg.

+ Written declaration on the number of suspending employees and figures on eligibility for the loan according to Decision No. 15/2020/QĐ-TTg.

2. Before the 5th of each month, employers shall send application for loan to Vietnam Bank for Social Policy where base offices, branches, representative offices, business locations or residence (for household or individual business) of employers are located.

3. When submitting application for benefitting from remedial policies, employers shall provide master registers of following documents:

+ Documents satisfactory to type of business: enterprise registration certificate/cooperative or household business registration certificate; Decision on establishment of competent authorities (if any); Business permit/operation permit/practice license (for conditional business lines or business lines required by the law); Investment permit/investment certificate (for enterprises established by foreign investors);

+ Power of attorney (if any);

+ Written agreement on employment suspension between employers and employees.

4. Within 5 working days from the date on which loan applications of employers are received, Vietnam Bank for Social Policy shall approve the loan.  In case of rejection, inform employers in writing and specify the reason.

5. Disbursement of Vietnam Bank for Social Policy shall be implemented until the end of January 31, 2021.

View more details at the Decision No. 32/2020/QĐ-TTg of the Prime Minister of Vietnam, issued on October 19, 2020.

Thuy Tram

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