Vice Chairman of the Committee on Social Affairs Bui Sy Loi delivering a speech

Speaking at the discussion session, Deputy General Director of Vietnam Social Security (VSS) Le Hung Son said that in the first 9 months of 2020, the number of people participating in social insurance was 15.51 million, which reached 94.7% of the plan assigned by the Government and accounted for about 31.5% of the workforce in the age group; there are 869,000 people remaining to develop by the end of the year to reach the assigned target.

In the first 9 months of 2020, the entire social insurance industry has settled for 94,913 monthly social insurance beneficiaries and increased by 13.2% over the same period in 2019. In which, the number of people receiving pension benefits is 79,499, up 17% over the same period in 2019; settlement for 646,812 people enjoying lump-sum social insurance benefits; 816,951 people enjoying unemployment benefits, a 29% increase over the same period in 2019 and 11,596 people enjoying vocational training support, a 31% decrease over the same period in 2019.

According to Son, right from the first months of 2020, the COVID-19 epidemic has severely affected the collection of social insurance and unemployment insurance premiums. The development process of participants in social insurance and unemployment insurance had been facing difficulties due to enterprises not being able to expand production and business. The fact that a great number of businesses had to cease production and business or go bankrupt has resulted in the employees also having to stop working (to terminate the labor contract, take unpaid leave, or postpone the labor contract). Since then, the revenues of social insurance and unemployment insurance were also heavily affected; businesses facing difficulties continue to owe more money to pay social insurance and unemployment insurance premiums.

VSS Deputy General Director Le Hung Son reported at the Discussion Session

Facing the above difficulties and problems, Mr. Le Hung Son stated his proposals: Specific and clear provisions on labor contracts or other types of contracts requiring participation in social insurance. Early institution for the group of workers having labor relations but without labor contracts can participate in compulsory social insurance. Besides, to expand the subjects participating in compulsory social insurance for groups of business householders, business managers, managers and operators of cooperatives without salary and workers with flexible regimes. Only enterprises and non-business organizations can send workers abroad to make a list of participation and are responsible for collecting the employees' money to contribute to the social insurance fund; Amend regulations on salary as a basis for paying social insurance, health insurance and unemployment insurance premiums for employees at the lowest rate equal to 70% of the total salary and other quality incomes of employees; Increase the level of support for the employees participating in voluntary social insurance, create more flexible support and stipulate the minimum support level so that the localities with conditions can build a mechanism to support a part of the voluntary social insurance premium. In addition, it is necessary to stipulate the debt settlement for bankrupt units that withdraw business licenses and the escaped owners no longer having the ability to pay debts in order to ensure the benefits of employees.

Contributing ideas to the effective control of the social insurance fund, Deputy Minister of Labor, Invalids and Social Affairs (MOLISA) Nguyen Ba Hoan stated that it is crucial to improve management capacity and effectiveness in implementing social insurance and unemployment insurance policies (Resolution No. 28-NQ/TW). Along with that, it is to perfect the organizational apparatus for implementing social insurance and unemployment insurance policies in a streamlined, efficient and effective manner. Promote the reform of administrative procedures, provide online public services at level 4; Perfect and promote the connection of the national database on insurance with related database systems. Continue to modernize the management of social insurance and invest in the development of technology and advanced management methods in the implementation of social insurance and unemployment insurance, etc.

According to Hoan, it is necessary to effectively implement unemployment insurance policies, fully promote the functions of unemployment insurance and ensure that unemployment insurance is the tool for labor market management. Expenses for the implementation of the unemployment insurance policy shall come from the Unemployment Insurance Fund but not from the State budget. A mechanism shall be built for recruiting, training and retraining human resources to meet the requirements and tasks, especially in the context of the rapidly changing labor market and the 4th Industrial Revolution, etc.

Overview image of the Session

Referring to unemployment insurance, Vice Chairwoman of the National Assembly's Social Affairs Committee Le Thi Nguyet expressed, in fact, in recent years, the number of people participating in social insurance has increased but has not met the set out requirements. On the other hand, there has been still a job-hopping situation, which has increased the number of employees changing jobs to enjoy unemployment insurance benefits. Facing the above reality, Mrs. Le Thi Nguyet suggested the MOLISA coordinate with the VSS to review the above subjects so that it will not affect and will ensure a better performance of social security.

Giving the conclusion speech of the Discussion session, Mr. Bui Sy Loi highly appreciated the opinions of the Committee members and the delegates regarding the topic of effective control over the social insurance fund.

Mr. Bui Sy Loi also requested the VSS together with the MOLISA to re-evaluate the implementation of social insurance in enterprises and people and employees as well as how it has affected the socio-economic development. In addition, these two agencies need to continue to improve indicators and the process of implementing social insurance in their reports so that comments can be given in the next meetings./.