DECISION

PRESCRIBING\r\nMANAGEMENT COSTS OF SOCIAL INSURANCE, UNEMPLOYMENT INSURANCE AND HEALTH\r\nINSURANCE IN 2022-2024 PERIOD

THE PRIME MINISTER OF VIETNAM

Pursuant to the Law on Government Organization\r\ndated June 19, 2015; the Law on Amendments to the Law on Government\r\nOrganization and the Law on Local Government Organization dated November 22,\r\n2019;

Pursuant to the Law on Social Insurance dated\r\nNovember 20, 2014 and the Law on amendments to 37 Laws concerning planning\r\ndated November 20, 2018;

Pursuant to the Law on Employment dated November\r\n16, 2013;

Pursuant to the Law on Health Insurance dated\r\nNovember 14, 2008, and the Law on amendments to the Law on Health Insurance\r\ndated June 13, 2014;

Pursuant to the Law on Occupational Safety and\r\nHealth dated June 25, 2015;

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At the request of the Minister of Finance of\r\nVietnam,

The Prime Minister of Vietnam promulgates a\r\nDecision prescribing management costs of social insurance, unemployment\r\ninsurance and health insurance in 2022-2024 period.

Article 1. Scope and regulated entities

1. This Decision provides for the management costs\r\nof social insurance (including occupational accident and occupational disease\r\ninsurance), unemployment insurance and health insurance in the 2022-2024\r\nperiod.

2. Regulated entities:

a) Agencies and organizations bearing management\r\ncosts of social insurance, unemployment insurance and health insurance:

- Vietnam Social Security and its affiliated units;

- The Social Security Offices of the Ministry of\r\nNational Defence, and of People’s Public Security Forces;

- Agencies and organizations in the field of\r\nlabour, war invalids and social affairs assigned to receive and process\r\napplications for occupational accident, occupational disease and unemployment\r\ninsurance benefits, and perform tasks relating management and use of\r\noccupational accident, occupational disease and unemployment insurance funds.

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Article 2. Levels of management\r\ncosts of social insurance, unemployment insurance and health insurance in\r\n2022-2024 period

1. Levels of management costs of social insurance\r\n(including occupational accident and occupational disease insurance),\r\nunemployment insurance shall comply with the provisions of Clause 1 Article 1\r\nof the Resolution No. 09/2021/UBTVQH15 dated December 08, 2021 of the Standing\r\nCommittee of National Assembly.

2. The average costs of health insurance management\r\nas prescribed in the Law on Health Insurance in the 2022-2024 period shall not\r\nexceed 3,5% of total health insurance contributions, and shall be covered by\r\nthe health insurance fund; in which, total costs shall not exceed 3,55% in 2022,\r\n3,5% in 2023, and 3,45% in 2024. The annual estimate of health insurance\r\nmanagement costs shall be determined according to the cost levels specified in\r\nthis Clause and on the basis of the annual estimate of health insurance\r\ncontributions.

3. The regulated entities shall use and make annual statements of funding annually allocated for covering\r\nmanagement costs of social insurance, unemployment insurance and health\r\ninsurance in accordance with regulations. Differences between the management\r\ncosts which are specified in the annual statement and do not exceed the\r\nallocated estimate and the management costs calculated according to actual\r\nrevenues and expenses shall be treated as follows:

a) The positive difference between the management\r\ncosts of social insurance and unemployment insurance specified in the annual\r\nstatement and the management costs calculated according to actual revenues and\r\nexpenses relating to social insurance and unemployment insurance (if any) shall\r\nbe deducted from the estimate of management costs of the following year;

b) The positive difference between the health\r\ninsurance management costs specified in the annual statement and the management\r\ncosts calculated according to health insurance contributions actually received\r\n(if any) shall be deducted from the estimate of management costs of the\r\nfollowing year.

If the health insurance contributions received in a\r\nyear are estimated by Vietnam Social Security to exceed the allocated estimate\r\nof management costs resulting in a significant increase in health insurance\r\nmanagement costs, Vietnam Social Security shall request the Ministry of Finance\r\nof Vietnam to consolidate and request the Prime Minister to additionally\r\nallocate the estimate of health insurance management costs provided that total\r\nestimated amount allocated shall not exceed the amount of health insurance\r\nmanagement costs to be deducted which are calculated according to total health\r\ninsurance contributions received in the year.

Article 3. Structure of management costs of\r\nsocial insurance, unemployment insurance and health insurance in 2022-2024\r\nperiod

1. Structure of expenditures in the 2022-2024\r\nperiod covered by funding for management costs of social insurance,\r\nunemployment insurance and health insurance as prescribed in Article 2 of this\r\nDecision includes 03 groups of expenditures as follows:

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b) Expenditures on information technology and\r\nfundamental construction investment;

c) Expenditures on operation of affiliated units of\r\nVietnam Social Security, Social Security Offices of the Ministry of National\r\nDefence and of the People’s Public Security Forces, and\r\nagencies and organizations in the field of labour, war invalids and social\r\naffairs assigned to receive and process applications for unemployment\r\ninsurance, occupational accident and occupational disease insurance benefits.

2. The average expenditures specified in Point c\r\nClause 1 of this Article in the 2022-2024 period shall not exceed 35,3% of\r\ntotal management costs in the same period.

3. If the structure of expenditures in a year needs\r\nto be modified due to objective reasons, Vietnam Social Security shall provide\r\nreasons and submit reports to the Ministry of Finance of Vietnam for\r\nconsolidating and reporting the Prime Minister.

Article 4. Allocation of estimates, management,\r\nuse and statement of management costs of social insurance, unemployment\r\ninsurance and health insurance

2. During the formulation and implementation of\r\nestimates of management costs of social insurance, unemployment insurance and\r\nhealth insurance, Vietnam Social Security and relevant authorities shall review\r\nand cut down unnecessary expenditures so as to ensure thrift practice, and\r\nassume responsibility for their proposed expenditures and data.   

Article 5. Salaries of officials, public\r\nemployees and workers

1. Salaries of officials, public employees and\r\nworkers shall be equal to 1,8 times the salaries paid to officials and public\r\nemployees prescribed by the State and shall be applied to the following\r\nentities who are included in the payroll or job positions approved by competent\r\nauthorities:

a) Officials, public employees and workers working\r\nin affiliated units of Vietnam Social Security;

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c) Workers in charge of implementing unemployment\r\ninsurance policies in the field of labour, war invalids and social affairs.

2. The increase in salaries (by 0,8 times the\r\nprescribed ones) specified in Clause 1 of this Article (excluding allowances\r\nfor civil service matters, seniority pay, responsibility allowance, incentive\r\nallowance in education sector, attraction allowance in extremely disadvantaged\r\nareas, overnight allowance and overtime pay) shall not be used as the basis for\r\ncalculating, paying and receiving benefits of social insurance, health\r\ninsurance, unemployment insurance and trade union contributions, and shall be\r\napplied until salary policies are reformed according to the Resolution No.\r\n27-NQ/TW dated May 21, 2018 of the 7th Meeting of the 12th Central Executive\r\nCommittee of the Communist Party of Vietnam.

Article 6. Effect

This Decision comes into force from November 10,\r\n2022 and shall be applied from the fiscal year of 2022 to the fiscal year of\r\n2024 inclusively. Payment of increased salaries (by 0,8 times of the prescribed\r\nsalaries) shall be made according to Clause 2 Article 5 of this Decision.

Article 7. Implementation

1. The Minister of Finance of Vietnam shall:

a) Within the ambit of his assigned functions and\r\ntasks, organize the annual or ad hoc inspections of implementation of estimates\r\nand annual statements of management costs of social insurance, unemployment\r\ninsurance and health insurance as prescribed provided that such inspections\r\nshall not coincide with audits and inspections of the State Audit Office of\r\nVietnam or Government Inspectorate;

b) In Quarter I, 2024, the Ministry of Finance of\r\nVietnam shall play the leading role and cooperate with Vietnam Social Security\r\nand relevant ministries and regulatory authorities in consolidating and assessing\r\nthe implementation of regulations on management costs of social insurance,\r\nunemployment insurance and health insurance, and submitting reports thereof to\r\nthe Government for requesting the Standing Committee of National Assembly to\r\ndecide levels of management costs of social insurance and unemployment\r\ninsurance in the following period in accordance with the provisions of the Law\r\non Social Insurance and the Law on Employment.

2. The Minister of Labour, War Invalids and Social\r\nAffairs of Vietnam shall: 

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b) Allocate annual estimates of management costs of\r\nunemployment insurance, occupational accident and occupational disease\r\ninsurance in a timely manner as prescribed;

c) Direct and instruct Provincial Departments of\r\nLabour, War Invalids and Social Affairs, and local employment service centers\r\nto receive and promptly process applications for occupational accident,\r\noccupational disease and unemployment insurance benefits; perform information\r\ndissemination, inspection and other tasks relating to management and use of\r\noccupational accident, occupational disease and unemployment insurance funds in\r\nthe field of labour, war invalids and social affairs so as to ensure effective\r\nuse of management costs which are associated with reform of procedures and\r\nimprovement of service quality and facilitate both employers and employees;\r\ninnovate and arrange apparatuses in charge of implementing unemployment\r\ninsurance policies to perform assigned tasks;

d) Direct appraisal and approval of annual\r\nstatements submitted by entities that have been allocated estimates of management\r\ncosts of occupational accident, occupational disease and unemployment insurance\r\nas prescribed, consolidated and submit consolidated statement thereof to\r\nVietnam Social Security.

3. The Governing Body of Vietnam Social Security\r\nshall monitor and inspect the implementation of estimates, management, use and\r\nstatement of management costs of social insurance, unemployment insurance and\r\nhealth insurance.

4. Director General of Vietnam Social Security\r\nshall:

a) Direct affiliated units of Vietnam Social Security\r\nin making estimates of management costs of social insurance, unemployment\r\ninsurance and health insurance as prescribed; at the request of the Ministry of\r\nLabour, War Invalids and Social Affairs of Vietnam, Social Security Office of\r\nthe Ministry of National Defence, and Social Security Office of People’s Public\r\nSecurity Forces, consolidate and propose specific levels of management costs\r\nand structure of expenditures of each agency or unit to competent authorities\r\nas prescribed in Article 4 of this Decision;

b) Allocate annual estimates of management costs of\r\nsocial insurance, unemployment insurance and health insurance in a timely\r\nmanner as prescribed;

c) Direct and instruct affiliated units of Vietnam\r\nSocial Security to use management costs of social insurance, unemployment\r\ninsurance and health insurance in an effective and thrift manner associated\r\nwith the results of expansion of eligible participants in social insurance,\r\nunemployment insurance and health insurance; reform administrative procedures\r\nand improve service quality to facilitate regulatory authorities, enterprises\r\nand citizens; continue innovating and arranging apparatuses and payrolls which\r\nshould be simplified and operate effectively as prescribed in the Prime\r\nMinister’s Decision No. 856/QD-TTg dated July 10, 2019; build and perfect the\r\nnational insurance database which should be connected with the national\r\npopulation database, other national databases, and ministerial and provincial\r\ndatabases in accordance with regulations of law to enhance efficiency in\r\nmanaging and implementing policies; promptly prevent acts of evasion of\r\npayments, frauds or profiteering from social insurance, unemployment insurance\r\nand health insurance policies, and combine with the implementation of the\r\nResolution No. 28-NQ/TW  dated May 23, 2018 of the 7th Meeting of the 12th\r\nCentral Executive Committee of the Communist Party of Vietnam, and the\r\nResolution No. 20-NQ/TW dated October 25, 2017 of the 6th Meeting of the 12th\r\nCentral Executive Committee of the Communist Party of Vietnam;

d) Direct inclusion of reporting on implementation\r\nand statement of management costs of social insurance, unemployment insurance\r\nand health insurance in the previous year in annual reports on implementation\r\nof policies, management and use of social insurance and health insurance funds,\r\nsubmit them to the Governing Body of Vietnam Social Security for approval and\r\nsubmission to the Ministry of Finance of Vietnam by March 15 of the following\r\nyear, and to the Ministry of Labour, War Invalids and Social Affairs of Vietnam\r\nand the Ministry of Health of Vietnam for reporting the Government and the\r\nNational Assembly.

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Direct the Social Security Office of the Ministry\r\nof National Defence, the Social Security Office of People’s Public Security\r\nForces to make and submit their estimates of management costs of social\r\ninsurance, unemployment insurance and health insurance to Vietnam Social\r\nSecurity for consolidation; manage, use and make annual statement of management\r\ncosts of social insurance, unemployment insurance and health insurance as\r\nprescribed in Article 4 of this Decision and in accordance with regulations of\r\nlaws on social insurance, unemployment insurance and health insurance.

6. The Minister of Finance, the Minister of Labour,\r\nWar Invalids and Social Affairs, Minister of Health, Minister of National\r\nDefence, Minister of Public Security, Chairperson of the Governing Body of\r\nVietnam Social Security, Director General of Vietnam Social Security, and heads\r\nof relevant agencies are responsible for the implementation of this Decision./.

PP. PRIME\r\n MINISTER
\r\n DEPUTY PRIME MINISTER
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\r\n Le Minh Khai