Based on the humanity of the policy with the motto "No one is left" during the pandemic and adheres to reality, the Vietnamese Government has offered a synchronous support package. On July 1 2021, Resolution No. 68/NQ-CP on certain policies to support employees and employers in difficulty due to the Covid-19 pandemic was officially effective.
Apart from the general regulations in Resolution 68, the Government had issued Decisions providing detailed regulations for subjects, conditions and supporting level of each type of support.
1. For employees
Resolution No. 68
Article 4, Section II
Types of support: Suspension of employment contracts, unpaid leave
Guiding Decision: Chapter IV Decision No. 23/2021/QD-TTg
Key points
Eligible entities:
- Employees have worked for enterprises, cooperatives, public sector entities that cover their own recurrent expenditures or investment and recurrent expenditures, ... that temporarily cease operations at the request of competent authorities for the prevention and control of the COVID-19 pandemic.
Eligibility requirements:
- The period of suspension of employment contracts or unpaid leave is from 15 consecutive days or more from May 1, 2021 to the end of December 31, 2021, with a start date between May 1, 2021 and December 31, 2021;
- Have contributed to compulsory social insurance up to the time of suspension of employment contracts or unpaid leave.
Amount of a lump-sum support:
- VND 1,855,000 per person for 15 consecutive days or more but less than 1 month;
- VND 3,710,000 per person for 1 month and above.
Article 5, Section II
Types of support: Furloughed employees
Guiding Decision: Chapter V Decision No. 23/2021/QD-TTg
Key points
Eligibility requirements:
- Employees have worked under an employment contract and has been put on furlough and have been quarantined or in a locked down area as required by the competent authority for 14 days or more during the period from May 1, 2021 to the end of December 31, 2021;
- Have contributed to compulsory social insurance up to the time of furlough.
- Amount of a lump-sum support is VND 1,000,000 per person.
Article 6, Section II
Types of support: Employees with terminated employment contracts
Guiding Decision: Chapter VI Decision No. 23/2021/QD-TTg
Key points: Eligible entities
- Employees have worked for enterprises, cooperatives, public sector entities that cover their own recurrent expenditures or investment and recurrent expenditures, … that temporarily cease operations at the request of competent authorities for the prevention and control of the COVID-19 pandemic.
Eligibility requirements:
- Employment contracts have been terminated from May 1, 2021 to the end of December 31, 2021, with a start date between May 1, 2021 and December 31, 2021; but are not eligible for unemployment benefits except for some circumstances;
- Have contributed to compulsory social insurance up to the month preceding the time of suspension of employment contracts.
- Amount of a lump-sum support is VND 3,710,000 per person.
2. For employers
Clause 1, Section II
Reduction in insurance premiums for occupational accidents and diseases
Chapter I Decision No. 23/2021/QD-TTg
Key points: Eligible entities
- Employers that pay premiums to the Insurance Fund for Occupational Accidents and Diseases for employees eligible for occupational accident and disease insurance as prescribed in law on social insurance and occupational safety and hygiene (except for some circumstances).
- Rate: 0% of the salary fund as the basis for paying social insurance premiums.
- Duration: 12 months, from July 1, 2021 to June 30, 2022 inclusive.
Should you have any concerns during the process of implementing the regulations, please contact us.
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