Guidance on handling pension regime for employees working in the extremely difficult socio-economic condition area

20/10/2021 09:40 PM


MOLISA sent Official Letter No. 3582/LĐTBXH-BHXH to VSS on handling pension regime to employees working in the extremely difficult socio-economic condition area.

Regarding to this matter, MOLISA has the following opinions:
Labour Law 2012 (Clause 2 Article 187) stipulated that employees work in a mountain, deep-lying, remote, border or island area in the list issued by the Government may retire earlier than employees working in normal condition.
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Law on Social Insurance 2014 (Point b Clause 1 and Point b clause 2 Article 54) stipulated that employees having full 15 years working in areas with a region-based allowance coefficient of 0.7 or higher may enjoy pension 05 years earlier than those working in normal condition.
Labour Law 2019 (Clause 3 Article 169 and Clause 1 Article 219) effective on Jan 1st 2021 modified the above stipulations of Labor Law 2012 and Law on Social Insurance 2014, accordingly employees having full 15 years working in regions with especially difficult socio-economic conditions including working time in a region-based allowance coefficient of 0.7 or higher before Jan 1st 2021 may retire at a younger age which shall not be more than 05 years earlier than those working in normal condition.
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Based on the above regulations, when pension regime of employees with working time in regions with especially difficult socio-economic conditions are reviewed and handled under Labor Law 2019’s regulation, working time in regions with especially difficult socio-economic conditions is calculated from Jan 1st 2021, working time before Jan 1st 2021 shall not be calculated for especially difficult socio-economic region, it shall be calculated according to a region-based allowance coefficient of 0.7 or higher.
 

.VSS

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