Vietnam is making big changes to its social insurance system. Lawmakers are now discussing a new plan. This aims to make pensions easier to get. It will also help more people join the system.
The biggest news is a shorter wait for pensions. People may only need to contribute for 15 years. This is down from 20 years. Think about that! This change could help many workers get retirement money sooner.
The government approved this project on February 14, 2024. Discussions are ongoing this week. The goal is to build a stronger social safety net for everyone.
New Pension Rules for More Workers
Vietnam wants more people to get a pension. The current system asks for 20 years of payments. Many workers cannot meet this. The new rule means more people will get a monthly pension. This includes people in the informal job market. These are workers without formal contracts.
The government is also finding ways to help pay. They will assist some people with their social insurance fees. This ensures broader coverage. It’s a big step for social fairness. Are you an independent worker? This could mean a big difference for your future.
The International Labour Organization works with Vietnam on social protection. Learn more about their efforts here: ILO Vietnam Social Protection. This support helps improve worker benefits.
Stopping Early Withdrawals, Boosting Security
Many people currently take their social insurance money early. They get a one-time lump sum. This leaves them with nothing for retirement. The new law wants to fix this. It plans to make early withdrawals harder.
Why is this important? Taking money early hurts the whole system. It also leaves workers without long-term support. The goal is to keep more money in the social insurance fund. This ensures it stays strong for future generations.
The changes also include new social aid programs. These are for people who cannot join regular insurance. It creates a safety net for everyone. The plan also focuses on better managing the social insurance fund. This means smarter investments. It ensures the fund grows and stays healthy.
The new law will reduce the required contribution period.
It plans to expand social insurance to informal workers.
The government will help pay premiums for some people.
New rules will make one-time withdrawals less common.
* Better management of the national social insurance fund is a key goal.
These reforms are huge. They aim to secure a better future for millions of Vietnamese workers.
