New guidelines for financial support targeting employees suffering from job loss, reduced working hours

30/01/2023 08:29 AM


The Vietnam General Confederation of Labour has promulgated Decision No 6696/QĐ-TLĐ regulating the implementation of support policies for workers who lose their jobs or have their working time reduced or have their labour contracts terminated as their employers suffer from a reduction in orders.

Illustrative Photo – Internet source

Specifically, the labourers who have had their daily working time, weekly or monthly working days reduced (except for the case the labourers have their overtime hours dropped) or have lost their jobs between January 10, 2020 and March 31, 2023, but earn a monthly income lower than the regional minimum wage will be eligible for financial support as follows:

- VND1 million/person for employees who are trade union members or are not trade union members but are female employees that are 35 years old or older, pregnant female employees, and employees that are raising a biological or adopted child under six years old.

- VND700,000/person for employees who are not trade union members.

For employees who have their labour contracts suspended or have been on unpaid leave between January 10, 2022 and March 31, 2023, the financial support will be:

- VND2 million/person for employees who are trade union members or are not trade union members but are female employees that are 35 years old or older, pregnant female employees, and employees that are raising a biological or adopted child under six years old.

- VND1.4 million/person for employees who are not trade union members.

For employees who have their labour contracts terminated between October 1, 2022 and March 31, 2023 but are not entitled to get unemployment insurance benefits, the financial support will be:

- VND3 million/person for employees who are trade union members or are not trade union members but are female employees that are 35 years old or older, pregnant female employees, and employees that are raising a biological or adopted child under six years old.

- VND2.1 million/person for employees who are not trade union members.

Illustrative Photo – Internet source

In cases employees have their working hours reduced or have their labour contracts temporarily suspended, before the 15th day of each month, the grassroots trade unions must review and require their employers to jointly make a list of trade union members and employees who are qualified for the financial support, and send related dossiers to the higher-level trade unions. Any dossiers submitted after March 31, 2023 will be ineligible.

For businesses that have not set up a trade union, higher-level trade unions will work with the businesses to make a list of eligible labourers and collect dossiers as regulated.

Trade union members and labourers who have their labour contracts terminated but are not entitled to get unemployment insurance benefits and would like to receive the financial support are advised to send dossiers to grassroots trade unions or provincial trade unions in localities that they reside or  have their labour contracts terminated.

The resettlement of dossiers and procedures will be between 19 and 22 days at the latest.

Employees eligible for the financial support will receive a one-time payment in cash or via bank  transfer.

Those who are eligible for many different support policies will only be entitled to the highest level of support.

For more details, please refer to the Decision No 6696/QĐ-TLĐ.

VSS