Employees in the enterprise owe the social insurance (social insurance) irrecoverable benefits calculated on the number of years actually paid, excluding the time of debt.
Vietnam Social Insurance has just issued an official document instructing the local Social Security to handle retirement, one-time social insurance, maternity sickness, and death benefits for employees at bankrupt enterprises and absconding owners according to the principle of "pay as much as you can and enjoy". The settlement is based on the guidance of the Ministry of Labour, Invalids and Social Affairs.
Workers who used to work at TBO Vina Company gathered in front of the administrative center of Da Nang City to submit a petition to pay the social insurance debt because the owner had fled, March 3. Image: Hong Chi
RetirementEmployees who reach retirement age and have actually paid social insurance contributions for 20 years or more, excluding the period of being owed social insurance, are entitled to pension at the time of eligibility. If the owed social insurance premium is later compensated by the enterprise or has other financial sources, this period can be added to recalculate the benefit level and pay the difference.
Persons reaching retirement age and participating in social insurance for less than 20 years, of which more than 10 years have actually paid, may voluntarily make a lump-sum payment for the missing years to enjoy their pension. The time to enjoy is calculated from the first day of the month immediately following the month of full payment.
If the owed amount is later compensated by the enterprise or supplemented by other financial sources, the social insurance agency will add the debt period to recalculate the benefit level and pay the difference. But the amount of voluntary labor paid for the outstanding years will not be refunded.
Regime One-time social insurance are paid in the following cases: Laborers work in normal conditions, have not paid full 20 years of social insurance (including the debt period); people going abroad to settle down; people suffering from one of the life-threatening diseases as prescribed by the Ministry of Health; officers, professional soldiers, professional non-commissioned officers, people doing cipher work in the armed forces, demobilized, retired but not eligible for pension; employees pay compulsory social insurance after one year of leave and voluntary social insurance payers after one year do not continue to pay social insurance premiums for less than 20 years.
The lump-sum benefit is calculated on the actual number of years of payment, excluding the period owed. If the debt is then compensated by the enterprise or other financial source, a lump-sum payment of social insurance will be added.
Similar, sick and maternity regime is also resolved on real-time close. Particularly, employees who give birth or adopt a child but that enterprise still owes insurance money will still be entitled to benefits if they have paid full 6 months or more to the Maternity Sickness Fund. If the debt is later paid off, the employee's salary will be adjusted.
Death mode shall be settled with those paying compulsory social insurance for 12 months or more or the total period of compulsory and voluntary payment of full 60 months or more, excluding the debt period. Employees who actually pay 15 years of compulsory social insurance or more, whose relatives are eligible for monthly survivorship allowance but do not want to enjoy it once, are entitled to monthly benefits.
One-time survivorship allowances shall be settled for employees who have not fully paid 15 years of compulsory social insurance; people who have actually paid full 15 years or more; people with 15 years of actual payment or more without relatives are eligible for monthly survivorship allowance. If the social insurance debt is then compensated, the employee is entitled to an additional one-time survivorship allowance as with one-time social insurance.
According to the Vietnam Social Insurance, by the end of 2022, the whole country has more than 2,13 million employees whose payment of social insurance is delayed from one to less than three months; 440.800 people are owed payment for three months or more and nearly 213.400 people have their books "suspended" at businesses that have been dissolved or stopped operating, and social insurance debts are difficult to recover. The number of people who are in debt to social insurance accounts for 17,4% of the total number of employees participating in compulsory social insurance.
The late closing occurred in all types of businesses with the amount of interest to be charged more than 13.150 billion VND. Compared to 2021, late payment interest increased by more than 660 billion VND. Particularly, debts that are difficult to recover at enterprises that are bankrupt, dissolved, or shut down, have run away with more than VND 4.000 billion.
How to check the time of debt payment for social insurance on VssID application. Image: Social insurance VN
Employees can check the delayed time, social insurance contributions, unemployment insurance through the VssID application. At section Participating process, if the system shows the unclosed time, the user chooses to see Details to know if the business has closed debt and how long it is owed.
Hong Chieu
