Retirees have not received a pay raise since July.

Due to waiting for the decree to take effect and the guiding circular, pensioners and recipients of social insurance benefits have not yet received the 12.5-20.8% increase since July.

On July 5th, Mr. Do Ngoc Tho, Head of the Social Insurance Policy Implementation Department of the Vietnam Social Insurance, stated that on June 29th, the Government issued Decree 42 adjusting pensions, social insurance benefits, and monthly allowances by 12.5-20.8% depending on the beneficiary group. The regulations will be implemented from July 1st, but the decree itself will only take effect on August 14th. Therefore, in July, pensioners and beneficiaries will still receive the same amount as in June.

"Once the decree takes effect and the guiding circular is issued, Vietnam Social Security will direct its subordinate agencies to reimburse the difference from July that people have not yet received," Mr. Tho said, adding that the agency's operational department has prepared the documents and is ready for payment.

Elderly people in Hanoi chat by West Lake. Photo: Tung Le.

Yesterday, the Hanoi Social Insurance agency instructed pension payment points to publicly display the information; payment officers also answered beneficiaries' questions. Once guidance circulars are issued by the Ministry of Labor, Invalids and Social Affairs and the Vietnam Social Insurance, the agency will make adjustments in accordance with regulations. The Ho Chi Minh City Social Insurance agency issued a similar notice on July 3rd.

On the website of the Ministry of Labour, Invalids and Social Affairs, the draft Circular guiding the adjustment of pensions, social insurance benefits and monthly allowances is open for public comment until August 7th.

According to Decree 42, the groups eligible for increased pensions, social insurance benefits, and monthly allowances include: officials, civil servants, workers, employees, and laborers; military personnel, police officers, and those working in classified positions who are receiving monthly pensions; commune, ward, and town officials; those receiving monthly disability allowances; and rubber plantation workers receiving allowances under the Government Council's decision of 1979.

Commune, ward, and town officials currently receiving monthly allowances according to the 1975 decision of the Government Council; military personnel who participated in the resistance war against the US with less than 20 years of service and have been demobilized or discharged; police officers who participated in the resistance war against the US with less than 20 years of service and have resigned or been discharged; military personnel, police officers, and cryptography personnel who participated in the war to defend the Fatherland and performed international duties in Cambodia and Laos after April 30, 1975, and have been demobilized, discharged, or resigned, are also eligible for increased pensions and allowances.

In addition, those receiving monthly work-related accident or occupational disease benefits, and those receiving monthly survivor's benefits before 1995, are also eligible for this increase.

In 2022, the whole country had 4.94 million elderly people receiving pensions, social insurance benefits, and monthly social allowances. Of these, 2.7 million received pensions; 640,000 received monthly social insurance benefits; and more than 1.7 million received social retirement benefits.

According to Hong Chieu/VNE

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