On March 28, 2023, Vietnam Social Security issued Decision 490/QD-BHXH ("Decision 490") amending and supplementing provisions on the procedures for collection of social insurance ("SI") contributions, premiums of health insurance ("HI"), unemployment insurance ("UI"), occupational accident and occupational disease insurance (“OADI”); management social insurance books and health insurance cards issued together with Decision 595/QD-BHXH ("Decision 595") dated April 14, 2017. Decision 490 contains various new points in regulations and procedures for declaring, submitting and collecting SI, HI and UI, in which, specifically:
1. Enterprises must declare for registration of SI participation within 30 days from the signature date of the employment contract or the recruitment decision
Under Decision 595, the declaration for SI participation must be done monthly. In other words, the signature of employment contracts or recruitment decisions arising in a month must be declared for SI participation in that month, whether the signature date is at the beginning or at the end of the month.
However, according to the new regulations in Decision 490, the employer shall be required to send the application to the SI agency no later than 30 days from the signature date of the employment contract or the recruitment decision.
2. UI must be paid monthly and simultaneously for all employees
Pursuant to Decision 595, enterprises, cooperatives, individual business households, cooperative groups engaged in agriculture, forestry, fishery and salt production shall paying wages by piece or collecting flat-rate lease payments, shall pay the UI contributions on the monthly, quarterly or biannual basis and no later than the last day of the payment period.
However, Decision 490 amends this regulation, only allowing one payment method of UI – monthly and simultaneously for all employees, specifically: "the employer shall pay UI and deduct the salary of each employee at the prescribed rate to pay to the UI fund in a monthly and simultaneously basis."
3. Changing the forms of submission and receipt results on settlement of administrative procedures related to SI, HI and UI
The employer can submit the application and register for receiving the administrative procedures settlement results electronically or in hard copy with the SI agency.
4. Adjusting regulations on groups participating in health insurance by household
Due to the removal of household registration books and temporary residence books, Decision 490 adjusts the determination of household members, including all persons named in the same household registered for permanent residence/household registered for temporary residence.
At the same time, Decision 490 clearly states that if a person who have participated in HI of household registered for permanent residence, will no longer have to participate in HI of household registered for temporary residence.
5. Adjusting authorities receiving application for declaration and receiving SI contributions, premiums of HI and UI in some cases
|
Participant |
Under Decision 595 (previously) |
Under Decision 490 (currently) |
|
Beneficiaries of the spouse regime at Vietnamese representative offices abroad |
Not regulated. |
Submit the application and pay to the management unit. |
|
Employees and people who are reserving the compulsory social insurance payment period are missing up to 06 months to be eligible for a monthly pension or death allowance |
Pay to the pension and death fund at the district Social Security of the residence place. |
Pay to the retirement and death fund to the Social Security of the permanent residence or through the unit before taking leave. |
Decision 409 takes effect from April 1, 2023.
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