Highlights of Legal Documents on Insurance - Labor - Finance in Vietnam

1. Reducing ½ the Mandatory Social Insurance Contribution for Employers from June 1, 2017

This is the main content of Decree 44/2017/ND-CP which regulates the mandatory social insurance (SI) contribution into the Occupational Accident and Disease Insurance Fund (referred to as the Fund).

From June 1, 2017, the monthly contribution to the Fund by employers is reduced from 1% to 0.5%. To be specific::

- 0.5% on the salary fund used as a basis for SI contributions of employees as stipulated at points a, b, c, d, dd, and h Clause 1 Article 2 of the 2014 Social Insurance Law (excluding house workers).

- 0.5% on the statutory pay rate for employees as stipulated at point e Clause 1 Article 2 of the 2014 Social Insurance Law.

For employees working under labor contracts of full 01 month to less than 03 months, the adjusted contribution rate applies from January 1, 2018.

Depending on the Fund's ability to ensure balance, the above contribution rate may be adjusted from January 1, 2020.

1. Wages for Employees Participating in Public Employment Projects

On April 20, 2017, the Ministry of Labor, Invalids, and Social Affairs issued Circular 11/2017/TT-BLDTBXH regulating working, resting, and salary policies for employees participating in projects and activities implementing public employment policies in the form of community.

The wages of employees are paid based on the agreement between the employees and the actual working time, volume, and quality of work performed by the employees. To be specific::

- Employees working full 8 hours/day and 26 days/month: Wages calculated monthly, not less than the regional minimum wage at the workplace;

- Employees working < 8 hours/day or < 26 days/month: Wages calculated hourly, not less than the regional minimum wage at the workplace divided by 26 days and 8 hours;

- In case employees work overtime, they are paid hourly wages for the overtime hours.

Circular 11/2017/TT-BLDTBXH takes effect from June 15, 2017.

1. Publication of Service Fees for Medical Examination and Treatment without Health Insurance

The Ministry of Health issues Circular 02/2017/TT-BYT regulating the maximum fee framework for medical examination and treatment services not covered by the Health Insurance Fund at state medical facilities.

The regulation includes direct costs and salary expenses at medical facilities such as: Special-class hospitals, Class I, II, III, and IV hospitals, regional polyclinics, and commune health stations.

Attached to the Circular are Appendices specifying the maximum fee framework for medical examination and treatment services as follows:

- Appendix I: Maximum fee framework for medical examination and health check services;- Appendix II: Maximum fee framework for inpatient bed services;- Appendix III: Maximum fee framework for technical and laboratory services.

Additionally, the Circular provides guidelines on applying prices, and paying medical examination and treatment expenses in specific cases.

Circular 02/2017/TT-BYT is effective from June 1, 2017.

1. Specific Regulations on Supplementary Labeling of Goods

This is newly addressed in Decree 43/2017/ND-CP on labeling of goods, replacing Decree 89/2006/ND-CP.

This decree adds more specific regulations on supplementary labeling such as:

- Goods that cannot be exported or are returned and circulated in the market must have supplementary labels, alongside imported goods as per current regulations;- On the supplementary label of goods that cannot be exported or are returned, there must be a bold line “Produced in Vietnam”.

- Two cases where supplementary labeling is not required:

- Imported components to replace damaged components in warranty services of the goods for which the organization or individual is responsible, and not for sale in the market;

- Imported raw materials, food additives, food processing aids, and accessories for production and not for sale in the market.

Refer to the detailed Appendices on the content and method of labeling goods attached to Decree 43/2017/ND-CP, effective from June 1, 2017.

Additionally, there are several documents in various fields such as:

1. Circular 03/2017/TT-BTNMT on preferential loan interest rates, post-investment interest rate support from the Vietnam Environment Protection Fund, effective from May 5, 2017;
2. Circular 28/2017/TT-BTC amending and supplementing Circular 45/2013/TT-BTC and 147/2016/TT-BTC on management, use, and depreciation of fixed assets, effective from May 26, 2017;
3. Circular 17/2017/TT-BTC guiding the collection, submission, management, and use of maritime fees and charges, effective from April 18, 2017.

>> CLICK HERE TO READ THIS ARTICLE IN VIETNAMESE