Under the 2013 Employment Law, foreign employees are not subject to unemployment insurance.

Regarding severance allowance, Article 48 of Labour Code 2012 stipulates as follows:

1. In case an employment contract is terminated in compliance with the provisions in Clause 1, 2, 3, 5, 6, 7, 9 and 10, Article 36 of this Code, the employer is responsible for paying severance allowance to the employee who has worked regularly for a period of at least full 12 months. A half of the monthly wage is payable for each year of work.

2. The qualified period of work for the calculation of severance allowance shall be the total period during which the employee actually worked for the employer minus the period in which the employee participated in the unemployment insurance scheme in accordance with the Law on Social Insurance, and the period for which the employee has been already paid severance allowance by the employer.

3. The reference wage for the calculation of severance allowance shall be the average of the wages which are stipulated in the employment contract valid for 06 months preceding the termination of the employment contract.

Accordingly, under Article 36 of the Labour Code, cases of termination of an employment contract include:

1.The employment contract expires, except for the case regulated in Clause 6 Article 192 of this Code.

2.The tasks stated in the employment contract have been completed.

3.Both parties agree to terminate the employment contract.

5. The employee is sentenced to imprisonment, capital punishment or is prohibited from performing the work stipulated in the employment contract by an effective conviction or judgment of the court.

6.The employee dies or is declared by the court to have lost the capacity of civil acts, or as missing or dead.

7.The employer, who is an individual, dies or is declared by the court as dead, missing, or has lost the capacity of civil acts; the employer, who is not individual, ceases operation.

9.The employee unilaterally terminates the employment contract in accordance with Article 37 of this Code.

10.The employer unilaterally terminates the employment contract in accordance with Article 38 of this Code; the employer terminates the employment contract due to structural and technological changes or because of economic reasons, merger, and acquisition, separation of the enterprise or the cooperative.

Based on the above-mentioned regulations, foreign employees who work continuously at least 12 months and end their work contracts following one of the above-mentioned cases, are eligible for severance allowance paid by employers./.