Recently, the Government of Vietnam has promulgated Resolution 116/NQ-CP dated 24/9/2021 about policies to support employees and employers affected by the COVID-19 pandemic from the Unemployment Insurance Fund.
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Hot: Cash support up to 3.3 million VND for employees who pay Unemployment Insurance (Illustration image)
To show the Party and State's concern and sharing for workers affected by the Covid-19 epidemic; To support workers to overcome difficulties and stabilize their lives, the Vietnamese Government decided to provide monetary support to employees affected by the COVID-19 pandemic from the balance of the Unemployment Insurance Fund.
Subjects of this support policy include:
- Employees participating in unemployment insurance as of September 30, 2021 (excluding employees working at state agencies, political organizations, socio-political organizations, People's armed forces and public non-business units whose recurrent expenditures are guaranteed by the state budget).
- Employees who have stopped participating in unemployment insurance due to termination of labour contract working contract for the period from January 1, 2020 to the end of September 30, 2021 with the period of unemployment insurance premium payment preserved in accordance with the employment law, excluding people receiving monthly pensions.
The support level is based on the period of unemployment insurance premium payment not yet enjoying unemployment allowance of the employee, specifically as follows:
- Unemployment insurance premium payment period under 12 months: support 1,800,000 VND/person.
- Unemployment insurance premium payment period from full 12 months to less than 60 months: support 2,100,000 VND/person.
- Unemployment insurance payment period from full 60 months to less than 84 months: support 2,400,000 VND/person.
- The period of paying unemployment insurance from full 84 months to less than 108 months: support 2,650,000 VND/person.
- Unemployment insurance premium payment period from full 108 months to less than 132 months: support 2,900,000 VND/person.
- The period of paying unemployment insurance premium from 132 months or more: support 3,300,000 VND/person.
Funding source: about 30,000 billion VND from the balance of the Unemployment Insurance Fund until the end of 2020.
The implementation time to support employees is from October 1, 2021 and will be completed by December 31, 2021 at the latest.
In addition, the subject is the employer specified in Article 43 of the Employment Law (excluding state agencies, political organizations, socio-political organizations, people's armed forces and units) public non-business units with recurrent expenditures guaranteed by the state budget) participating in unemployment insurance before October 1, 2021, may reduce the contribution rate to the Unemployment Insurance Fund from 1% to 0% of the monthly salary of employees who are subject to unemployment insurance.
The time to reduce the above payment is 12 months, from October 1, 2021 to the end of September 30, 2022.
Bao Ngoc
