DECREE

REGULATING RATES OF COMPULSORY INSURANCE CONTRIBUTIONS TO THE OCCUPATIONAL ACCIDENT AND DISEASE BENEFIT FUND

Pursuant to the Law on Government Organization dated June 19, 2015;

Pursuant to the Law on Occupational Safety and Hygiene dated June 25, 2015;

Pursuant to the Law on Social Security dated November 20, 2014;

Upon the request of the Minister of Labor, War Invalids and Social Affairs;

The Government hereby promulgates the Decree providing for rates of compulsory insurance contributions to the occupational accident and disease benefit fund.

Chapter I

GENERAL PROVISIONS

Article 1. Scope

This Decree stipulates the rates of compulsory insurance contributions to the occupational accident and disease benefit fund.

Article 2. Subjects of application

1. Employers covered by clause 3 of Article 2 in the Law on Social Insurance.

2. Other entities and persons related to the implementation of contributions to the occupational accident and disease benefit fund belonging to the compulsory social insurance plan.

Article 3. Interpretation

For the purposes of this Decree, terms used herein shall be construed as follows:

1. Submission year means the year in which the written application of the contribution rate lower than normal is submitted.

2. Report on assessment of occupational safety and hygiene, and reduced frequency of workplace accidents means the report providing the assessment of conditions serving as a basis to decrease the rate of contribution to the occupational accident and disease benefit fund.

Chapter II

RATES AND METHODS OF CONTRIBUTION TO THE OCCUPATIONAL ACCIDENT AND DISEASE BENEFIT FUND

Article 4. Rates and methods of contribution to the occupational accident and disease benefit fund

1. Based on the statutory base payroll, the employer shall pay monthly social insurance contributions for the benefit of their insured employees in accordance with points a, b, c, d, dd and h of clause 1 of Article 2 and clause 2 of Article 2 in the Law on Social Insurance, except domestic workers, at one of the following rates:

a) Normal contribution rate shall be equal to 0.5% of the statutory base payroll, which is applicable to employees who are public officials, civil servants or public employees, and members of the armed forces under the control of authorities of the Party and State, socio-political organizations, military, public security forces or public service units funded by the state budget;

b) The contribution rate equaling 0.3% of the statutory base payroll shall be applicable to enterprises that satisfy the conditions specified in Article 5 herein.

2. Employers shall make monthly contributions to the occupational accident and disease benefit fund at the rate equaling 0.5% of the base pay rate for the benefit of each employee as provided in point e of clause 1 of Article 2 in the Law on Social Insurance.

3. As for employers who are enterprises, cooperatives, sole proprietary business households or cooperative alliances operating in such fields as agriculture, forestry, fishery or salt production, if they receive piecework or lump-sum pay, the monthly contribution rate shall be bound to corresponding requirements imposed in each circumstance specified in points a and b of clause 1 of this Article. Contributions shall be made on a monthly, quarterly or biannual basis.

Article 5. Cases on eligibility for the lower-than-normal rate of contribution to the occupational accident and disease benefit fund

Enterprises operating in industries with high risks of occupational accidents and diseases shall be entitled to the contribution rates specified at point b of clause 1 of Article 4 herein if they conform to following eligibility requirements:

1. Within three years prior to the submission date, they have not been subject to any administrative monetary fine or any criminal prosecution for their violation against laws on occupational safety, hygiene and social insurance;

2. They have submitted periodic reports on workplace accidents, occupational safety and hygiene in an accurate, sufficient and timely manner within three consecutive years prior to the submission year;

3. Frequency rate of occupational accidents in the year preceding the submission year must drop by at least 15% of the average frequency of workplace accidents in 3 consecutive years prior to the submission year, or have not had any occupational accident 3 years preceding the submission year.

Chapter III

DOCUMENTATION REQUIREMENTS, APPLICATION PROCESSES, PROCEDURES AND TIME LIMITS FOR LOWER-THAN-NORMAL RATES OF CONTRIBUTIONS TO THE OCCUPATIONAL ACCIDENT AND DISEASE BENEFIT FUND

Article 6. Documentation requirements for application for the lower-than-normal rate of contribution to the occupational accident and disease benefit fund

1. Written request form prescribed by using the Form 01 given in an Appendix hereto.

2. Authenticated or certified true copy of the report on assessment of occupational safety and hygiene and reduced incidence frequency of workplace accidents, prepared by the occupational safety and hygiene assessment body prescribed in Article 7 of this Decree. Report on assessment of occupational safety and hygiene and reduced incidence frequency of accidents at work prescribed in the Form 02 given in the Appendix hereto.

Article 7. Report on assessment of occupational safety and hygiene, and reduced incidence frequency of workplace accidents serving as a basis to consider eligibility for the lower-than-normal rates of contributions to the occupational accident and disease benefit fund

The report on assessment of occupational safety and hygiene, and reduced incidence frequency of workplace accidents, referred to in clause 2 of Article 6 herein shall be prepared by the occupational safety and hygiene assessment body that meets the following requirements:

1. The assessment body is an organization that is issued with a Level-C certificate of conformance to occupational safety and hygiene training requirements (being trained to qualify as occupational safety and hygiene practitioner) which remains valid according to regulations in force.

2. Their occupational safety and hygiene assessment professionals must be employed during the assessment process.   The assessment professional must be the assessment body’s tenured occupational safety and hygiene trainer who is trained and tested to ensure conformance to requirements concerning occupational safety and hygiene assessment regulated by the Ministry of Labor – War Invalids and Social Affairs.

Article 8. Application processes and procedures for grant of decision on application of the lower-than-normal rate of contribution to the occupational accident and disease benefit fund

1. If the employer wishes to have access to the lower-than-normal rate of contribution to the occupational accident and disease benefit fund, they shall submit 01 set of documents directly or online or by post as prescribed in Article 6 of this Decree to the Ministry of Labor, War Invalids and Social Affairs.

2. Within 30 working days from receipt of the full set of application documents from the employer, the Ministry of Labor, War Invalids and Social Affairs shall take the following steps:

a) Send the written request to the Department of Labor - Invalids and Social Affairs for their assessment of the employer’s compliance with the law on occupational safety and hygiene by using the Form 03 given in the Appendix hereto;

b) Post information about agencies, units, enterprises and organizations on the web portal of the Ministry of Labor - Invalids and Social Affairs to collect public comments for at least 10 days;

c) Conduct any assessment and consider any decision on the application of the new contribution rate lower than the ordinary rate of contribution to the occupational accident and disease benefit fund according to the Form 04 given in the Appendix hereto; send or inform results directly or online or by post to enterprises and social insurance agencies for further implementation purposes.

d) In case of ineligibility for the lower-than-normal rate of contribution, a reply, enclosing clear explanations for such ineligibility, must be sent to the applicant employer.

Article 9. Time limits for implementation of the lower-than-normal rate of contribution to the occupational accident and disease benefit fund

1. The time limit for application of the lower-than-normal rate of contribution to the occupational accident and disease benefit fund which is prescribed in point b of clause 1 of Article 4 herein is 36 months from the month in which the decision of application of such rate is in force.

2. Within 60 days before the expiry of the time limit for application of such rate as prescribed in clause 1 of this Article, if the employer still wishes to continue to pay the lower-than-normal rate of contribution to the occupational accident and disease benefit fund, then they should prepare 1 set of application documents the same as those prescribed in Article 6, and apply according to the processes and procedures stipulated in Article 8 of this Decree.

Article 10. Withdrawal and revocation of the decision on modification and application of the lower-than-normal rate of contribution to the occupational accident and disease benefit fund

1. The Ministry of Labor, War Invalids and Social Affairs shall be authorized to withdraw and revoke the decision on modification and application of the lower-than-normal rate of contribution to the occupational accident and disease benefit fund.

2. The decision on modification and application of the lower-than-normal rate of contribution to the occupational accident and disease benefit fund prescribed in point c of clause 2 of Article 8 herein will be withdrawn or revoked if:

a) The employer commits any fraudulent act or falsification of documents included in the set of application documents for the lower-than-normal rate of contribution to the occupational accident and disease benefit fund;

b) The employer violates the law on occupational safety, hygiene and social insurance to the extent that they are subject to any administrative monetary fine or criminal prosecution during the validity period of their entitlement to the lower-than-normal rate of contribution to the occupational accident and disease benefit fund;

c) The employer fails to make workplace accident reports or reports on assessment of occupational safety and hygiene during the period of their entitlement to the lower-than-normal rate of contribution to the occupational accident and disease insurance fund;

d) Hired occupational safety and hygiene assessment body commits any act of fraudulence which leads to any change in eligibility conditions serving as a basis for application for the reduction in the contribution rates as prescribed in Article 5 herein.

3. The employer committing any acts prescribed at point a of clause 2 of this Article shall assume the following responsibilities:

a) Reimburse the differential amount deducted during the period of implementation of the decision on modification and application of the lower-than-normal rate of contribution to the occupational accident and disease benefit fund;

b) Pay contributions at the rate equaling 1% of the statutory base payroll for the 36-month period from the date on which the decision on modification and application of the lower-than-normal rate of contribution to the occupational accident and disease benefit fund expires due to withdrawal or revocation.

4. The employer in breach of point b and c of clause 2 of this Article shall be responsible for paying contributions at the rate equaling 0.5% of the statutory base payroll as usual to the occupational accident and disease benefit fund from the date on which the decision on modification and application of the lower-than-normal rate of contribution to the occupational accident and disease benefit fund expires due to withdrawal or revocation.

5. In case of any fraudulent act committed by the hired occupational safety and hygiene assessment body, the following actions shall be taken:

a) In case any fraudulent act of that body results in any changes in eligibility conditions serving as a basis for application for the reduction in the contribution rates as provided in Article 5 of this Decree (in fact, the employer does not satisfy these conditions), the employer shall reimburse the differential amount stipulated in point a of clause 3 of this Article, and concurrently pay the normal contribution rate as specified in clause 4 of this Article;

b) In case any fraudulent act of that body does not lead to any changes in the employer’s conformance to eligibility conditions serving as a basis for application for the reduction in the contribution rates as prescribed in Article 5 herein, the employer may continue to make contributions at the lower-than-normal rates to the occupational accident and disease benefit fund;

c) Occupational safety and hygiene assessment bodies and professionals who commit any fraudulent acts shall not obtain recognitions of occupational safety and hygiene assessment results that serve as a basis for consideration of application of the rates of contribution to the occupational accident and disease benefit fund within 03 years of receipt of the conclusion on these fraudulent acts; and at the same time, shall be sanctioned in accordance with the law on administrative penalties or criminal prosecution to the extent of their violation.

Chapter IV

IMPLEMENTARY RESPONSIBILITIES

Article 11. Responsibilities of the Ministry of Labor, War Invalids and Social Affairs

1. Seek the Government’s consideration of grant of decision on the adjustment of the contribution rates prescribed in Article 4 of this Decree, based on the payment capability of the workplace accident and occupational disease benefit fund over periods of time; take charge of implementation of this Decree.

2. Provide guidance on the contents, programs and organization of occupational safety and hygiene assessment training and testing, and the exemption or reduction of learned training contents for occupational safety and hygiene assessment professionals; provide instructions on how to calculate the incidence frequency of workplace accidents.

3. Post on the website of the Ministry of Labor - Invalids and Social Affairs a list of occupational safety and hygiene assessment professionals; any breach of laws arising from adjustments of contribution rates according to this Decree.

4. Set up and manage databases of assessment of adjustments in the rates of contributions to the occupational accident and disease benefit fund.

5. Communicate, disseminate and provide guidance on implementation of this Decree through mass media at the central level; provide training and instructions about the implementation of this Decree for relevant ministries, sectors, localities, organizations and mass organizations, and conduct the inspection and examination of their implementation of this Decree.

6. Instruct and direct the Departments of Labor, War Invalids and Social Affairs to comply with provisions laid down in point a of clause 2 of Article 8 herein.

Article 12. Responsibilities of the Vietnam Social Security

1. Instruct and direct Social Security agencies at provinces and centrally-affiliated cities to comply with adjustments of rates of contributions to the occupational accident and disease benefit fund.

2. Provide the Ministry of Labor, War Invalids and Social Affairs with a general review report on the implementation of workplace accident and occupational disease insurance regimes and policies; provide the Ministry of Finance with a general review report on the management and use of the workplace accident and occupational disease benefit fund.

Article 13. Responsibilities of People’s Committees of centrally-affiliated cities and provinces

1. Communicate, disseminate, guide, manage and take charge of the implementation of compulsory social insurance contributions to the workplace accident and occupational disease benefit fund under this Decree within their remit.

2. Urge and direct the Department of Labor, War Invalids and Social Affairs and relevant sectoral administrations to cooperate with local socio-political organizations in inspecting and examining compliance with laws on payment of compulsory social insurance contributions to workplace accident and occupational disease benefit fund within their ambit.

Article 14. Responsibilities of occupational safety and hygiene assessment bodies

1. Second their professionals to join training sessions on occupational safety and hygiene; employ qualified assessment professionals posted on the website of the Ministry of Labor - Invalids and Social Affairs to render assessment services in accordance with clause 2 of Article 7 herein.

2. Formulate the detailed assessment processes meeting demands of assessed enterprises.

3. Make reports on assessment of occupational safety and hygiene, and reduced incidence frequency of workplace accidents serving as a basis to consider eligibility for the lower-than-normal rates of contributions to the occupational accident and disease benefit fund by using the Form 02 given in the Appendix hereto.

4. Cooperate on providing documents requested by competent state authorities during the assessment and inspection period. 

5. Send annual or ad-hoc reports upon the request of the Ministry of Labor, War Invalids and Social Affairs by using the Form 05 given in the Appendix hereto.

Article 15. Employer’s rights and responsibilities

1. Reimburse the differential contribution amount and pay contributions at the rates specified in clause 3, clause 4 and point a of clause 5 of Article 30 herein.

2. Assign a coordinator and supervisor to ensure that the occupational safety and hygiene assessment body complies with law during the process of making assessment reports.

3. Provide documents or records related to occupational safety and hygiene activities during the process of carrying out assessments.

4. Store and keep custody of full documents used as a basis for request for application of the rate of contribution to the workplace accident and occupational disease benefit fund; provide any records request by competent state authorities.

5. Lodge claims or complaints about any acts of violation against laws arising from payment of contributions to the workplace accident and occupational disease benefit fund.

6. Pay assessment costs agreed upon with occupational safety and hygiene assessment bodies.

Chapter V

IMPLEMENTATION PROVISIONS

Article 16. Entry into force

1. This Decree shall take effect from July 15, 2020.

2. Regulations laid down in the Government’s Decree No. 44/2017/ND-CP dated April 14, 2017, prescribing the rates of compulsory social insurance contributions to the workplace accident and occupational disease benefit fund, and point b of clause 1 of Article 13 in the Government’s Decree No. 143/2018/ND-CP dated October 15, 2018, providing details about implementation of the Law on Social Insurance, and the Law on Occupational Safety and Hygiene, in terms of compulsory social insurance for employees who are foreign citizens working in Vietnam, shall become defunct from the effective date of this Decree.

Article 17. Implementation responsibilities

Ministers, Heads of Ministry-level agencies, Heads of Governmental bodies, and Chairpersons of People’s Committees of centrally-affiliated cities and provinces, shall be responsible for implementing this Decree./.

Form No. 01

 SOCIALIST REPUBLIC OF VIET NAM
Independence-Freedom-Happiness
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…….………[place], …………..………..[date]

Application for lower-than-normal rate of contribution to the occupational accident and disease benefit fund

To: Ministry of Labour, War Invalids and Social Affairs

1. Name of the applicant (agency, unit, enterprise or organization):  ……………………………………………………….

- Main business lines:  ……………………………………………………………..

- Total employees participating in occupational accident and disease insurance: …………………………………………………………

- Place of payment of social insurance contributions: ...........................................................................................................

- Place of submission of reports on occupational accidents and occupational safety and health:  ....................................

2. Contact address: ………………………………………………………………………………………….

Telephone: ……………………………………. Fax:……………………………….. E-mail: …………………………………

3. Number of establishment decision/ Enterprise registration certificate:…………….. Issuing authority: …………………………. Date of issue: …………………….. At:…………………………..

4. Legal representative: 

Full name: ………………………………………………………….. Gender:   …………………………

Position:  …………………………………………………………………………………………………....

Nationality: ……………………………………. Date of birth:  ……………………………………………….

Number of ID Card/Passport/Citizen Identity Card:……………………. Issued on:……………………….. at………………

Registered permanent residence: ………………………………………………………………………..

Telephone:………………….. E-mail: ……………………………………………..

5. After careful study into the provisions of the Government’s Decree No. ....../2020/ND-CP dated………………., 2020 regulating rates of compulsory insurance contributions to the occupational accident and disease benefit fund, we believe that we have fulfilled eligibility requirements for a lower-than-normal rate of contribution to the occupational accident and disease benefit fund according to our self-assessment in the Appendix enclosed herewith.

We kindly request your Ministry to consider our application and allow us to apply the rate of contribution to the occupational accident and disease benefit fund equaling 0.3% of the statutory base payroll, which is used as the basis for paying social insurance contributions. 

6. Enclosed documents:  ………………………………………………………………………

7. ………………….. (Name of the applicant agency, unit, enterprise or organization) hereby undertakes to:

- assume the legal responsibility for the accuracy and legitimacy of the contents of this application and all documents enclosed herewith.

- strictly comply with regulations on occupational safety and health and relevant laws./.

Appendix

SELF-ASSESSMENT OF OCCUPATIONAL SAFETY AND HEALTH, AND FREQUENCY OF OCCUPATIONAL ACCIDENTS

(Enclosed with the Application for lower-than-normal rate of contribution to the occupational accident and disease benefit fund)

(Name of agency, unit, enterprise or organization) has conducted a self-assessment of occupational safety and health and obtained the following results: 

Form No. 02

 SOCIALIST REPUBLIC OF VIET NAM
Independence-Freedom-Happiness
---------------

REPORT
On assessment of occupational safety and health, and reduced frequency of occupational accidents

Name of the assessment body:  ………………………………………………………………………

Name of the assessed entity:…………………………………………….

Business lines:   .............................................................................................................................

Governing body:  ………………………………………………………………………………………….

Address: ………………………………………………………………………………..……………………

Telephone: ……………………………………… Fax:  ………………………………………………..

E-mail: …………………………………………… Website: …………………………..………………….

Date of assessment:  ………………………………………………………………………………..

Year: ………….

Part I

ASSESSMENT OVERVIEW

I. PARTICULARS OF THE ASSESSED AGENCY, UNIT, ENTERPRISE OR ORGANIZATION

1. Name of employer:  ……………………………………………………………………………………

- Governing body:  ………………………………………………………………………………

- Address: …………………………………………………………………………………………………….

- Main business lines:  ……………………………………

……………………………………………………………………………………………………………….

- Year of establishment:  …………………………………………………………………………………………..

- Total employees participating in compulsory social insurance: ………………………………………

- Number of direct employees:  …………………………………………………………………………………..

- Number of employees who perform jobs subject to strict occupational safety and health requirements: ………………;

- Quantity of machinery and equipment pieces bound by strict occupational safety and health requirements: …………………………..

- Number of employees performing ardous, hazardous or unhealthy work and those performing extremely ardous, hazardous or unhealthy work:  …………………………………………………………………………………………………

2. Scope (Total production):  ………………………………………………………………………

3. Summary of technological process/service:  ………………………………………………………………..

II. ASSESSMENT SCOPE

- Place of assessment: ………………………………………………………………………………………

- Scale of assessment: …………………………………………………………………………………

- Assessed industries: ……………………………………………………………………………

III. DESCRIPTION OF ASSESSMENT PROCESS

……………………………………………………………………………………………………………….

Part II

RESULTS OF ASSESSMENT OF OCCUPATIONAL SAFETY AND HEALTH (OSH)

Part III. CONCLUSIONS AND RECOMMENDATIONS

1. Conclusions on compliance with regulations on OSH (1)

……………………………………………………………………………………………………………….

………………………………………………………………………………………………………………..

2. Recommendations (2):

………………………………………………………………………………………………………………..

………………………………………………………………………………………………………………..

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(1) Conclusions on compliance with regulations on OSH:

- The assessed entity has strictly and fully complied with regulations on OSH;

- The assessed entity has failed to comply with regulations on OSH;

- The assessed entity should carry out remedial measures for some contents.

(2) Recommendation is made according to 3 levels as follows:

- The assessed entity is eligible for the lower-than-normal rate of contribution to the occupational accident and disease benefit fund;

- The assessed entity is ineligible for the lower-than-normal rate of contribution to the occupational accident and disease benefit fund;

- The assessed entity is eligible for the lower-than-normal rate of contribution to the occupational accident and disease benefit fund but needs to carry out remedial measures for some contents.

(3) The assessment professional is the OSH professional that is prescribed in Clause 2 Article 7 hereof, has his/her information published on the website of the Ministry of Labor, War Invalids and Social Affairs, and has participated in the self-assessment.

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