According to Article 67 and Clause 99 of the Social Insurance Law 2024 (effective from July 1, 2025), pension adjustments for employees will continue to be implemented.

Pension levels are adjusted based on the increase in the consumer price index in accordance with the capacity of the State budget and social insurance fund.

Specifically, adjusting the pension increase appropriately for those with low pensions and those who retired before 1995 ensures narrowing the pension gap between retirees in different periods.

No pension increase for those retiring from 1995 onwards according to the pension adjustment in 2025.

Pensioners and social insurance beneficiaries register to receive benefits via personal accounts (ATM).png
Continue to increase pensions for the third time for those with low pensions and retired before 1995. Illustration photo: Social Insurance.

Previously, according to Decree 75/2024 of the Government , from July 1, 2024, people who are receiving pensions, social insurance benefits, and monthly allowances according to regulations, after adjusting an increase of 15% on pensions, social insurance benefits, and monthly allowances, with a benefit level lower than VND 3,500,000/month, will be adjusted to increase as follows:

Increase by 300,000 VND/person/month for those with benefits below 3,200,000 VND/person/month;

Increase by 3,500,000 VND/person/month for those with benefits from 3,200,000 VND/person/month to less than 3,500,000 VND/person/month.

The pension, social insurance allowance, and monthly allowance after adjustment according to the above regulations are the basis for calculating the adjustment of pension, social insurance allowance, and monthly allowance in subsequent adjustments.

Thus, from July 1, 2024, pensions have been officially increased twice, exceeding 15% for those who retired before 1995 but have a new pension level of less than 3,500,000 VND/month.

Thus, from July 1, 2025, when the new Social Insurance Law comes into effect, pensions will be increased for the third time for those with low pensions and retired before 1995.

Labor and salary expert Bui Sy Loi - former Vice Chairman of the National Assembly 's Committee on Social Affairs said that those who retired before 1995 had low pensions compared to the general level. Therefore, the State continued to increase their pensions to demonstrate preferential policies for those who had worked and contributed to the State sector during this period.

According to Mr. Loi, salary reform is a process of accumulation over many years in which the previous generation accumulates for the current generation. The fund source of 560,000 billion VND from the Social Insurance Fund is the process of accumulation of the previous generation, if the salary increase is not appropriate, it will not ensure fairness for retirees.

The adjustment to increase pensions appropriately for those with low pensions and those who retired before 1995 aims to narrow the pension gap between retirees in different periods.

There are still many people with low pensions.

Statistics from the Vietnam Social Security show that in the 2016-2022 period, the country has settled nearly 763,000 pensioners, an average of about 109,000 people per year. However, only about 55% of people achieved the pension rate of 75%.

Social insurance is currently paying pensions to about 2.7 million people. Of these beneficiaries, the majority receive between 3 and under 7 million VND/month.