The Government has promulgated Resolution No 114/NQ-CP dated July 28, 2023 of the monthly Government meeting on the draft Law on Social Insurance (amended).

According to the Resolution, the Government concurred with the necessity, objectives, and views on amending the Law on Social Insurance, stating that the draft Law on Social Insurance (amended) has many complicated contents, profoundly affecting the social security system and labourers.

It is necessary to have support from the State budget to increase benefits to attract the participation of people in the social insurance system. Illustrative Photo

The Ministry of Labour, Invalids and Social Affairs has actively and scientifically formulated the draft law in line with the provisions of the Law on Promulgation of Normative Legal Documents. Basically speaking, the draft Law has institutionalise the Party and State views and policies on reforming and perfecting social insurance policies in new circumstances, resolving shortcomings and obstacles in the implementation of the Law.

The Government assigned the Ministry of Labour, Invalids and Social Affairs to work with relevant bodies to fully get opinions of the Government members, completing contents of the draft Law, as follows:

To institutionalise, concretise the Party guiding lines and policies on social security; continue reviewing relevant legal provisions and remove difficulties from reality, fully assess theoretical grounds to determine issues that need to be inherited, and issues that need to be supplemented, perfected or abolished.

To gather opinions of the subjects of law, consult specialists, scientists, and refer to international experience; decentralisation must incorporate with inspection and supervision activities; diversify resources to mobilise ognisations to implement the law, and so on.

Regarding lump-sum social insurance withdrawal which is quite complicated and greatly affects the socio-economic life, it is advisable to propose two options to the National Assembly and to demonstrate solid bases for the chosen option and to regulate practical measures to support and encourage labourers to voluntarily reserve the period of social insurance premium payment instead of receiving the one-time payment.

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Regarding social insurance management cost, it is also essential to present two options to the National Assembly, in which the chosen option must be specific. The total management cost of either option must be based on the thorough assessment of theoretical and practical foundations at home and on the international practices.

It is agreeable that there should be support from the State budget to supplement policies, add benefits, and increase the attractiveness to engage more people to join the social insurance system in order to ensure long-term social security for the people and to demonstrate the policy of not sacrificing social progress and justice for economic growth in line with the Resolution 28-NQ/TW dated May 23, 2018 by the 12th Party Central Committee on social insurance policy reform.

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Above all, the Government consent to issues including reduced period of social insurance premium payment from 20 years to 15 years to enjoy pension; reduce the eligible age for retirement benefits from 80 to 75; and expand the groups of compulsory social insurance participants.

Besides contents mentioned above, the Government assigned the Ministry of Labour, Invalids and Social Affairs to sign the Report on the draft Law on Social Insurance (amended) to the National Assembly, on behalf of the Government.