The Decree is applied for employers as defined in Clause 3, Article 2 of the Law on Social Insurance; other agencies, organisations and individuals involved in the contribution to the occupational accident insurance fund in the compulsory social insurance.

Illustrative Photo: The labour accident and occupational disease insurance provides financial support for occupation-related incidents

According to the Decree, employers shall pay a monthly contribution of social insurance for employees as specified at Points a, b, c, d, đ and h of Clause 1, Article 2 and Clause 2, Article 2 of the Law on Social Insurance, except for workers being domestic workers, on one of the following levels:

a) Normal payment rate is equal to 0.5 per cent of the salary fund as a basis for social insurance payment; the rate is applicable to civil servants, public employees and people working for the armed forces of Party and State agencies, socio-political organisations, the army, the police, public agencies funded by the State budget.

b) The rate of 0.3 per cent of the salary fund as a basis for social insurance payment is applied for workers of organisations on high risks of occupational accident and diseases, provided that they meet following criteria: 

- Those who are not fined or prosecuted for violating regulations and laws on labour safety and social insurance within three years preceding the proposed time

- Regularly report on occupational accidents, occupational safety and hygiene within three years up preceding the proposed time

- The frequency of occupational accidents of the year before the proposed year must be reduced by 15 per cent or more compared to the average occupational accident frequency of three years preceding the year of proposing or not to cause occupational accidents within three years preceding the year of the proposal.

The Decree stipulates that employers shall contribute monthly to the Occupational Accident Insurance Fund at the rate of 0.5 per cent of the basic salary for each employee specified at Point e, Clause 1, Article 2 of Law on social insurance (non-commissioned officers and soldiers of the People's Army; non-commissioned officers and men of the People's Public Security Service for a limited period of time; military and police trainees who are currently enrolled and entitled to living expenses).

For employers who are enterprises, cooperatives, individual business households, cooperative groups working in agriculture, forestry, fishery or salt production paying wages based on Key Performance Indicator or contracts, the contribution is made corresponding to the conditions of each case prescribed above monthly, every 3 months or 6 months.

The Decree takes effect from July 15, 2020.