Consulting international experience in amendments and supplements to the Law on Social Insurance in line with Vietnam’s circumstances

30/09/2023 01:08 PM


The Vietnam Social Security (VSS) in collaboration with the World Bank (WB) organised a consultation workshop in northern Quang Ninh province on September 29 on the content of amending and supplementing the Law on Social Insurance.

Caption: A view of the conference

Deputy General Director of Vietnam Social Security (VSS) Le Hung Son and Robert J. Palacios - Chief social security expert for the East Asia-Pacific region at World Bank co-chaired the seminar. The attendants were members of the Drafting Team for the Law on Social Insurance (amended), WB experts and representatives from the National Assembly Law Committee, the National Assembly Committee on Social Affairs and the Ministry of Labour, Invalids and Social Affairs.

PHOTO: VSS Deputy General Director Le Hung Son speaks at the seminar

Speaking at the seminar, VSS Deputy General Director Le Hung Son said social insurance is the key pillar of the social security system. After eight years of implementation, the Law on Social Insurance 2014 has affirmed the appropriateness of social insurance policies and regimes according to the principle of payment and enjoyment, meeting the aspirations of the majority of employees, ensuring social security and international integration.  

The 7th Conference of the 12th Central Committee of the Communist Party of Vietnam issued Resolution No 28-NQ/TW on reforming social insurance policies with the goal of reforming social insurance policies to make social insurance become a main pillar of the social security system, gradually expanding the coverage of social insurance, towards the goal of universal social insurance; developing a flexible, diversified, multi-tiered, modern social insurance system with international integration according to the principles of payment and enjoyment, fairness, equality, sharing and sustainability; improving the capacity, effectiveness and efficiency of state management and developing a lean, professional, modern, reliable and transparent system for implementing social insurance policies.

Therefore, the institutionalisation of views, directions and policies of the Party and State on social insurance in the Resolution No 28-NQ/TW should be implemented through the amendment and supplementation of relevant legal documents according to a roadmap suitable to the country's socio-economic development conditions, including the Law on Social Insurance.

As an agency under the Government, assigned by the Government to organise the implementation of social and health insurance policies and regimes, the VSS has studied the application file for the development of the amended Law on Social Insurance and found that a number of contents need to be discussed, clarified and adjusted in this draft amendment to the Law on Social Insurance, he said.

At previous working sessions, WB experts said the amended Law on Social Insurance is one of laws that have huge impacts on social security for people in Vietnam. However, in terms of positive impacts, particularly in expanding the social insurance coverage, it is needed to have appropriate amendments suitable to Vietnam’s socio-economic development.

“I believe that, through the seminar, with their experience, experts can give opinions to make effective contribution to the building of the Law on Social Insurance (amended) suitable to Vietnam’s socio-economic development while meeting international and regional integration demand,” he said.

PHOTO: Christophe Lemiere, WB Programme Leader for Human Development in Vietnam speaks at the seminar

Speaking at the seminar, Christophe Lemiere, WB Programme Leader for Human Development in Vietnam, stressed that the amendments to the Law on Social Insurance will have huge impacts on people’s social security so it needs research, assessment and appropriate amendments, particularly in fulfilling targets set by the Resolution No 28. The expansion of the social insurance coverage required more effective solutions which should be mentioned in the amended Law on Social Insurance this time.

He noted that the draft amendments to the Law on Social Insurance had many changes in compulsory and voluntary social insurance regimes; retirement allowance; expansion of social insurance coverage for seasonal and part-time employees; and encouraging voluntary participation of informal workers in social insurance.

Regarding the increase of the rate of elderly people who are eligible to receive retirement pension, he proposed to reduce the age requirements to increase the coverage rate.

Apart from regimes to encourage voluntary social insurance participation, he also recommended to raise awareness, building trust, improving management and raising services quality in order to expand voluntary social insurance coverage.

“There are many issues needed for discussion and the seminar is an important opportunity for relevant agencies to review and complete the draft amendments before submitting to the National Assembly in the next few weeks. We commit to supporting the VSS and relevant agencies of the Government in getting access to international experience and global knowledge to build the draft Law on Social Insurance (amended),” he said.

PHOTO: A participant speaks at the meeting

At the seminar, a representative from the VSS Department of Social Insurance Implementation presented the progress of amending the Law on Social Insurance and WB experts shared contents relating to the amendments to the Law on Social Insurance from the view of the WB with experience from many countries.

During the discussion, WB experts shared and provided consultancy on issues related to the identification of family members in handling death allowance, international experience in managing monthly social insurance pension beneficiaries, recommendations for Vietnam about a roadmap to expand voluntary social insurance coverage, international experience in applying information technology in management of social insurance contributions and in managing beneficiaries, and recommendations to invest in increasing social insurance fund. 

Delegates highly valued international experience and lessons in amending the Law on Social Insurance but stressed that careful selection and amendments are needed to be suitable to Vietnam’s conditions. 

Concluding the seminar, VSS Deputy General Director Le Hung Son thanked WB experts and participants for their valuable sharing and comments. Basing on which, the VSS will select recommendations and solutions suitable to Vietnam’s conditions to propose relevant agencies in amending the Law on Social Insurance, he said.

He said he hoped that the WB will continue supporting Vietnam in amending the Law on Social Insurance and performing tasks of the Vietnam social security industry./.

VSS