Recently, the Government of Vietnam issued Resolution 154/NQ-CP 2020 on amendments to Resolution 42/NQ-CP on assistance for people affected by Covid-19 pandemic. The Resolution decided to add entities affected by the COVID-19 pandemic eligible for assistance compared to Resolution 42/NQ-CP.
Article table of contents
Addition of entities affected by the COVID-19 pandemic eligible for assistance in Vietnam from October 19 (Illustrative image)
Under Resolution 154/NQ-CP dated October 19, 2020 on amendments and supplements to point 1 of Section II Resolution 42/NQ-CP dated April 9, 2020:
“In case employees working under employment contracts must agree on suspension of employment contracts, take unpaid leave for one month or more because their employers, people-founded/private educational institutions, or public educational institutions that cover regular expenses at all levels of preschools, kindergartens, primary schools, lower secondary schools, and upper secondary schools face difficulties due to the Covid-19 pandemic, have no revenue or no financial resources to pay salaries, they shall receive 1,800,000/person/month. The assistance period depends on the actual suspension period of employment contracts, unpaid leave period, according to the monthly situation of the epidemic developments, from April 1, 2020, and not exceeding 3 months."
According to Resolution 154/NQ-CP and Resolution 42/NQ-CP, the entities affected by the COVID-19 pandemic eligible for assistance in Vietnam include:
Firstly: In case employees working under employment contracts must agree on suspension of employment contracts, take unpaid leave for one month or more because their employers, people-founded/private educational institutions, or public educational institutions that cover regular expenses at all levels of preschools, kindergartens, primary schools, lower secondary schools, and upper secondary schools face difficulties due to the Covid-19 pandemic, have no revenue or no financial resources to pay salaries, they shall receive VND 1,800,000/person/month.
The assistance period depends on the actual suspension period of employment contracts, unpaid leave period, according to the monthly situation of the epidemic developments, from April 1, 2020, and not exceeding 3 months.
Secondly: A household business that earns an annual revenue of under 100 millions VND/year and has to suspend business operation from April 01, 2020 will receive 1.000.000 per month for up to 3 months according to the pandemic situation.
Thirdly: A worker who has his/her employment contract terminated but is not eligible for unemployment benefits; a worker who does not have an employment contract and is laid off will receive 1.000.000 per month for up to 3 months according to the pandemic situation. This will apply from April to June 2020.
Fourthly: A person with meritorious services to the revolution who is receiving monthly benefits will receive an additional amount of 500.000 per month for 3 months from April to June 2020. This will be paid in a lump sum.
Fifthly: A social protection beneficiary who is receiving monthly benefits will receive an additional amount of 500.000 per month for 3 months from April to June 2020. This will be paid in a lump sum.
Sixthly, a poor or near-poor household according to the national poverty standards by December 31, 2019 will receive 500.000 per person per month for 3 months from April to June 2020. This will be paid in a lump sum.
Thus, Resolution 154/NQ-CP has made the addition of the entities affected by the COVID-19 pandemic eligible for assistance compared to previous regulations (Resolution 42/NQ-CP). Specifically, employees taking unpaid leave for one month or more because their employers, people-founded/private educational institutions, or public educational institutions that cover regular expenses at all levels of preschools, kindergartens, primary schools, lower secondary schools, and upper secondary schools face difficulties due to the Covid-19 pandemic shall receive 1,800,000/person/month. Therefore, from October 19, teachers at all levels of preschools, kindergartens, primary schools, lower secondary schools, and upper secondary schools taking unpaid leave for more than one month due to COVID-19 will receive VND 1.8 million/month.
Additionally, Resolution 154/NQ-CP also abolishes the condition of having paid at least 50% of suspension allowance for employees at point 2 of section II and amends the content of suspension of contributions to the retirement and survivorship fund (“Employers has a reduction of 50% or more employees participating in social insurance" is amended to “Employers has a reduction of 20% or more employees participating in social insurance”) at point 1 of section III.
Ty Na
