VSS’ Director General Nguyen The Manh: VSS Sector's Resilient Efforts - Overcoming Challenges and Excelling in the Commitment to Social Welfare for the People

Interviewer: As the government agency entrusted with implementing social, health insurance policies, how did the VSS proactively coordinate and carry out its tasks in 2023?

VSS’ Director General Nguyen The Manh: In 2023, amidst the world's complex and unpredictable political, security, economic, and social situations, the aftermath of the global Covid-19 pandemic is expected to persist for many years. Global economic growth is slowing down, and there are risks of economic recession, as well as financial, monetary, public debt, energy security, food security, and increasing information risks.

In the face of these challenges and uncertainties, the VSS has proactively aligned itself with the Resolutions of the Party, National Assembly, Government, and closely coordinated with central ministries, committees, sectors, party committees, and local authorities. This has involved building programs, plans, and coordinating the implementation of social insurance policies, achieving effective and resolute results in the set targets and tasks, such as expanding social, health insurance coverage.

The involvement of party committees and local authorities is a decisive factor, determining the effectiveness of organizing and implementing social and health insurance policies

The VSS has consistently taken the initiative to actively collaborate with relevant ministries in proposing, building, and amending crucial laws and documents related to the implementation of insurance regimes, policies, and the management of social, health insurance funds. This has gained high consensus and unity from the relevant ministries, sectors, and units involved in the implementation, such as the amended Social Insurance Law, the amended Health Insurance Law, and the amended Employment Law. Particularly, the VSS has proactively coordinated with the Ministry of Health to address challenges in healthcare services covered by health insurance, ensuring the rights and benefits of participants.

As of now, all 63 provinces and cities have completed the establishment of steering committees to implement social, health insurance policies policies at the commune level. Forty-six out of 63 provinces have incorporated targets related to social insurance coverage, and 60 out of 63 provinces have included health insurance coverage targets in their socio-economic development plans. Twenty-two out of 63 provinces allocate budgetary support for voluntary social insurance participants, and 62 out of 63 provinces provide additional financial support for health insurance participants.

Interviewer: In 2023, the VSS Sector has not only met but exceeded many assigned targets and tasks, according to you. Can you highlight the most significant and meaningful results?

VSS’ Director General Nguyen The Manh: Social and health insurance are two cornerstone policies in the national social security system, aiding the people and workers in overcoming difficulties and preventing risks in their lives.

The number of participants in social, health and unemployment insurance continues to maintain growth, surpassing the previous year and consistently meeting and exceeding the set targets in Party Resolutions

The VSS has proactively adhered to the Resolutions of the Party, National Assembly, Government, promptly detailing the targets and tasks throughout the entire sector. It has closely coordinated with ministries, sectors, party committees, and local authorities to implement resolute and cohesive measures, adapting to challenges and achieving positive results.

Specifically, by the end of 2023, the nationwide social insurance participation rate reached approximately 39.25% of the labor force (in line with the target set in the Government's Resolution 01/NQ-CP), with around 18.259 million participants. Approximately 3.92% of the labor force voluntarily participated in social insurance, totaling nearly 1.83 million people (exceeding the 1.42% target set for the 2025 period in the Central Committee's Resolution 28-NQ/TW). The unemployment insurance participation rate was 31.58% of the labor force, involving 14.693 million people (meeting the target in Government Resolution 01/NQ-CP).

Especially noteworthy is the sustainable annual growth of the health insurance participation rate, approaching the universal health insurance goal. In 2021, the health insurance coverage rate was 91.01% of the population (exceeding by 0.01%). In 2022, it reached 92.04% (exceeding by 0.04%). In 2023, it achieved 93.35% (exceeding by 0.15% compared to the Government's Resolution 01/NQ-CP) with over 93.307 million participants.

The entire VSS sector has fully and timely resolved and disbursed social, health insurance benefits.

With an expanding social, health insurance coverage foundation, the entire VSS sector continues its determined transition from manual to modern management methods, innovating its service-oriented working style. This ensures maximum rights for participants as stipulated by law. As a result, in 2023, the entire VSS sector timely resolved and fully disbursed benefits for 95,670 monthly pension and social insurance allowance recipients (including 75,230 pension recipients, a 3.48% increase compared to the same period in 2022). It also addressed the needs of 1,304,203 one-time social insurance allowance recipients (including 1,110,422 one-time social insurance allowance recipients, a 23.73% increase compared to the same period in 2022). Additionally, 8,849,210 people received sick, maternity, health recovery, and nursing benefits. In collaboration with the Ministry of Labor - Invalids and Social Affairs, the sector addressed the needs of 1,050,028 unemployment allowance recipients (a 10.92% increase compared to the same period in 2022) and 19,185 vocational training support recipients. In 2023, more than 174.8 million health insurance medical examinations were conducted nationwide, an increase of over 23.4 million compared to 2022, with medical examination expenses totaling approximately 124.3 trillion VND.

In 2023, the entire sector promptly disbursed pension, social insurance allowance, and monthly allowance payments according to the new benefit rates. In August 2023, from the effective date of Government Decree 42/2023/ND-CP dated August 14, 2023, the entire sector organized payments of around 20.833 trillion VND. The sector essentially completed the disbursement for 100% of beneficiaries (equivalent to over 1.24 million people) registered to receive pension and social insurance allowance through personal bank accounts (ATMs), with a total amount exceeding 8.801 trillion VND.

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Additionally, the VSS has promptly advised and coordinated with the government to issue Decree No. 75/2023/NĐ-CP dated October 19, 2023, amending and supplementing certain provisions of Decree No. 146/2018/NĐ-CP detailing and guiding the implementation of some provisions of the Health Insurance Law. This contributes to expanding the groups of subjects covered by the state budget and receiving health insurance support.

Simultaneously, the VSS consistently directs provincial Social Insurance units to closely coordinate with the Health sector to ensure timely funding for health insurance-based medical examinations for operating healthcare facilities, serving the rights of health insurance participants as stipulated by law.

The VSS Sector has increased innovation, vigorously conducted inspections and checks, especially sudden inspections of labor units (Illustrative Image)

Notably, the VSS Sector has enhanced innovation and intensified inspections and checks, particularly sudden inspections of Social Insurance units and strict penalties for violations. By the end of December 2023, the VSS chaired and coordinated inspections and checks at 18,707 units. The total amount owed by units inspected and checked for late payments before inspection decisions amounted to 1,504.1 billion VND. The amount rectified and paid immediately after inspection was 909.8 billion VND (equivalent to 60.5%). It detected 44,859 cases of violations related to participants and the amounts paid, with a collection demand of 132.6 billion VND. It also demanded the recovery of 139.5 billion VND from the social and unemployment insurance funds due to improper benefit enjoyment (186% compared to 2022). Thanks to the determined, flexible, and comprehensive solutions of the entire sector, by the end of 2023, the amount collected for social, health and unemployment insurance increased by 8.55% compared to the same period in 2022, reaching 101.41% of the Prime Minister's assigned estimate. The amount of late payments for social, health and unemployment insurance recorded the lowest level since 2016, decreasing from 6% (in 2016) to 2.69% of the total receivables.

Thirdly, fund investment management is carried out in accordance with regulations, ensuring the principles of safety, sustainability, efficiency, and optimal investment plans. The investment fund growth rate is 10.43% compared to 2022. Currently, the social, health and unemployment insurance funds have become the largest social security funds, being managed and utilized for their intended purposes safely, effectively, transparently, and openly under the supervision of the National Assembly, Government, and the Social Insurance Council.

In addition to implementing social security policies and ensuring the rights of retirement insurance participants, health care, and medical care, minimizing damage and risks for workers, the social, health and unemployment insurance funds are also important financial sources for the country. With over 80% of total investment debt structure invested in government bonds, the insurance funds have contributed to meeting the capital mobilization needs of the state budget, supporting the government in implementing macroeconomic financial policies, stabilizing national finances, restructuring public debt, saving ODA borrowing costs, and promoting the country's socio-economic development.

The VSS will continue to implement various robust measures with the motto "Empowering the people and businesses as the subject, the center of service."

In line with the principle of "Empowering the people and businesses as the subject, the center of service," in 2023, the VSS will persist in implementing many strong initiatives. These include streamlining and simplifying administrative procedures, with 100% of administrative procedures under the jurisdiction of the Sector being received and resolved independently of administrative boundaries, except for cases requiring on-site inspection and appraisal. There will be a focus on enhancing the application of information technology, digital transformation, and promoting full-process online public services. Pension and social insurance benefits will be disbursed through individual accounts, creating favorable conditions and reducing transaction time and costs for individuals and organizations. By the end of 2023, approximately 64% of individuals receiving social insurance benefits and unemployment allowances will receive these payments through individual accounts in urban areas, a 3% increase compared to 2022 (exceeding the 4% target set in Decision No. 1813/QD-TTg dated October 28, 2021, by the Prime Minister).

It can be said that the positive and comprehensive results achieved in all areas of the Sector demonstrate the political determination of the entire sector in fulfilling assigned targets and tasks, ensuring the rightful benefits of participants, and contributing to strengthening and instilling unwavering confidence among the people, labor force, and businesses in the social security policies of the Party and our state.

Interviewer: Sincere thanks to you, Director-General!