Social Insurance Law takes effect from July 1, 2025: More benefits, tighter discipline

These adjustments are considered to expand coverage, increase humanity, but also set many new requirements for responsibility and transparency. In particular, the most prominent point, with clear encouragement, is to reduce the minimum number of years of social insurance contributions to receive pension from 20 years to 15 years. Accordingly, when employees reach the prescribed retirement age, they only need to contribute for 15 years to be eligible for pension, the initial benefit is 45% (women) or 40% (men), then increase with each additional year of contribution.

The adjustments of the Social Insurance Law 2024 are considered to expand coverage and increase humanity, but also pose many new requirements on responsibility and transparency. Photo: Internet

Mr. Nguyen Quoc Phuoc (born in 1967) - driver at Hoang Long Construction and Trading Joint Stock Company ( Ha Tinh City) said: "I have participated in social insurance for 12 years and 9 months until June 2025. If according to the current Social Insurance Law, when I participate in social insurance until the working age of 62, the social insurance payment period is not enough 20 years, I have to pay once for the remaining years to retire. However, when the Social Insurance Law 2024 takes effect, the minimum social insurance payment period to receive pension has been shortened from 20 years to 15 years, thanks to which when I reach the working age, I will be eligible for retirement."

Faced with the situation where many workers withdraw their social insurance contributions at one time and then fall into a situation where they have no pension when they retire, the Social Insurance Law 2024 aims to protect sustainable social security. Accordingly, from July 1, 2025, social insurance participants after this time will no longer be able to withdraw their social insurance contributions at one time, except in special cases such as: settling abroad, having a serious illness, reaching retirement age but not having enough years of contribution...

Workers of Nam Ha Tinh Seafood Import-Export Joint Stock Company will feel more secure at work when social security benefits are better guaranteed from July 1, 2025.

Ms. Le Thi Hai (born in 1975) - a worker at Lao - Viet International Port Joint Stock Company said: "I have been paying social insurance by the company since 2018 and have been guaranteed full benefits of social insurance and health insurance. However, because I joined social insurance quite late, I was quite worried about the conditions for receiving retirement benefits and had intended to receive social insurance in one lump sum. When the Social Insurance Law 2024 took effect, I felt more secure because the payment period was shortened to 15 years."

The new regulations have made many businesses a bit worried because the cost of contributions will increase as the coverage expands. However, many units also see this as an opportunity to stabilize personnel and retain employees for the long term.

Mr. Pham Van Tuc - Director of Nam Ha Tinh Seafood Import-Export Joint Stock Company shared: "At first, we were also worried about having to pay extra for part-time workers, but in the long run, the company will be more stable when workers feel secure in their jobs, not quitting to withdraw their social insurance at once like before. On the other hand, clearer sick leave, maternity leave, and accident policies are also a plus point for easier recruitment."

Also according to the 2024 Social Insurance Law, business owners with business registration must participate in compulsory social insurance. This also causes concern as many people in this group are not familiar with paying social insurance.

Mr. Le Khanh Sinh - owner of Hien Sinh business at 348 Ha Huy Tap Street (Ha Tinh City) shared: “Because I used to pay compulsory social insurance when working for a company and continued to pay voluntary social insurance when running my own business, I am not too surprised by this new regulation. However, through asking my friends, I know that many people have not prepared and arranged properly. I hope that in the future, the Social Insurance sector will widely disseminate this social security policy so that business owners understand it.”

Social Insurance Specialist of Region XV discussed with Mr. Le Khanh Sinh about new regulations on social insurance participation of registered individual business owners.

It can be seen that the revised Law on Social Insurance is not only an adjustment of discipline but also a step forward in expanding social security in a sustainable and comprehensive direction. However, for the policy to come into life, it needs the support of employers, employees and management agencies.

Mr. Bui Hong Nhat - Head of Collection Management and Participant Development, Social Insurance Region XV, recommended: "According to regulations, enterprises that evade or delay paying social insurance for employees will have to compensate for the benefits for employees when they arise and will be administratively sanctioned by the authorities, have to pay back late payment fees and interest... Therefore, in the coming time, enterprises and especially business owners from July 1, 2025 need to review the workforce and register to participate in social insurance for employees in accordance with regulations".

Source: https://baohatinh.vn/luat-bhxh-co-hieu-luc-tu-172025-them-quyen-loi-siet-ky-cuong-post289650.html