Voluntary social insurance: "Support" for workers' social security

Social insurance officers and employees launched propaganda on the Social Insurance Law.

With the goal of having more and more workers enjoy retirement benefits and health insurance cards after reaching retirement age, voluntary social insurance policies are increasingly humane and suitable to the practical needs of the people.

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Ms. Tran Tu Phuong - Head of the Social Insurance Communications Department of the province said that the Law on Social Insurance (amended) 2024 and the Law amending and supplementing a number of articles of the Law on Health Insurance will take effect from July 1, 2025, expanding the subjects participating in compulsory social insurance to business owners; non-professional workers at the commune, village, and residential group levels; part-time workers; business managers, and cooperative managers who do not receive salaries.

Accordingly, the subjects participating in voluntary social insurance are employees working under indefinite-term labor contracts or fixed-term labor contracts with a term of 1 month or more, including cases where employees and employers agree on a different name but with content showing paid work, salary and management, operation and supervision by one party; cadres, civil servants and public employees who are temporarily suspending the performance of labor contracts or work contracts, except in cases where the two parties have an agreement on compulsory social insurance payment during this period.

One of the most notable changes is the reduction of the minimum number of years of social insurance contributions from 20 years to 15 years to qualify for a pension. This is especially meaningful for middle-aged voluntary social insurance participants, informal workers, or those who have not been able to contribute continuously for many years.

According to the new regulations, participants only need to pay social insurance for 15 years and reach the prescribed retirement age to receive a monthly pension to ensure their life in old age. This is an important step forward, contributing to encouraging people to participate in voluntary social insurance, while creating opportunities for many people to receive pensions earlier. In addition, those who have paid social insurance for a longer period will still receive pensions at a higher rate, encouraging long-term commitment to this policy.

Regarding the changes that are beneficial to social insurance participants, Ms. Nguyen Thi Thu, residing in Hiep Tan ward, Hoa Thanh town, happily shared: “The Social Insurance Law 2024 is deeply humane, including the content of reducing the number of years of social insurance contributions from 20 years to 15 years to receive retirement benefits. This is a favorable condition for more people to participate in social insurance, and the mobilization process is more effective”.

One of the new developments in the 2024 Social Insurance Law is the addition of maternity allowances for voluntary social insurance participants. Accordingly, female and male employees participating in voluntary social insurance who give birth or whose wife gives birth will receive a subsidy of VND 2 million for each child, if they meet the conditions for paying social insurance for at least 6 months in the 12 months before giving birth. More importantly, employees do not have to contribute any additional amount compared to the current voluntary social insurance contribution level.

The regulation also applies to cases of fetal death in utero at 22 weeks or more, and fetal death during labor. The Government will adjust the above maternity allowance levels in accordance with socio -economic development conditions and the capacity of the State budget in each period.

Female workers who are ethnic minorities or female workers who are Kinh people whose husbands are ethnic minorities and are from poor households, when giving birth, in addition to the above maternity allowance, are also entitled to other support policies according to Government regulations.

The Social Insurance sector strengthens communication of social security policies to the people.

Increase benefits and attractiveness

One of the major amendments and supplements to the Social Insurance Law 2024 is to supplement social pension benefits to form a multi-layered social insurance system. Specifically, Article 23 of the Social Insurance Law 2024 stipulates: When participating in social insurance, if an employee has reached retirement age but has paid social insurance for a period of time that does not meet the conditions for receiving a pension according to the provisions of law and does not meet the conditions for receiving social pension benefits, if he/she does not receive social insurance at one time and does not reserve it but has a request, he/she will receive a monthly allowance from his/her own contributions.

The lowest monthly allowance is equal to the monthly social pension allowance and is subject to the same adjustment as the pension adjustment regulations. During the period of receiving the monthly allowance, the State budget pays for health insurance. Upon death, relatives are entitled to a one-time allowance for the months not yet received and are entitled to a funeral allowance if they meet the prescribed conditions.

In case the total amount calculated based on the payment period and the basis for social insurance payment is not enough for the employee to receive monthly benefits until reaching the age of receiving social pension benefits, if the employee wishes, he/she can make a one-time payment for the remaining amount to receive until reaching the age of receiving social pension benefits.

Pursuant to Article 169 of the 2019 Labor Code, employees who meet the conditions on social insurance payment period as prescribed by the law on social insurance are entitled to receive pension when they reach retirement age. Accordingly, the retirement age of employees in normal working conditions is adjusted according to the roadmap until reaching 62 years old for male employees in 2028 and 60 years old for female employees in 2035.

Clause 9, Article 141 of the 2024 Law on Social Insurance stipulates: “People who participate in voluntary social insurance before January 1, 2021 and have paid voluntary social insurance for 20 years or more are entitled to receive pension when they reach the age of 60 for men and 55 for women…”. This provision helps people who participated in social insurance before 2021 to receive pension earlier than the retirement age prescribed in the current Labor Code.

Referring to the innovations in the Social Insurance Law this time, Ms. Bui Kim Kieu, residing in Long Hoa ward, Hoa Thanh town, said: “The current Social Insurance Law has many innovations, which are very useful and convenient for people. In particular, I am interested in the regime for the elderly. Previously, people were only entitled to benefits at the age of 80, now they are entitled at the age of 75. The time has been reduced by 5 years, contributing to solving many economic problems for the elderly.”

The 2024 Social Insurance Law is a major step forward in reforming social security policies in Vietnam, in which many new points related to voluntary social insurance show the State's deep concern for vulnerable labor groups. With active support from the State budget, increased benefits and expanded beneficiaries, the policy is increasingly humane, becoming a solid "support", helping free laborers feel more secure on the path to building a stable and sustainable life.

The Law on Social Insurance (amended) 2024 and the Law on amending and supplementing a number of articles of the Law on Health Insurance are two important policies related to social security of our Party and State. Through the above contents, it can be seen that employees participating in voluntary social insurance will contribute to stabilizing their lives and receiving health care when they retire.

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Source: https://baotayninh.vn/bao-hiem-xa-hoi-tu-nguyen-gia-do-an-sinh-cho-nguoi-lao-dong-a191681.html