Tiếng Việt
中文 (中国)
日本語
In the draft of the amended Employment Law, the Vietnam General Confederation of Labor proposes exempting workers who have paid unemployment insurance for over 12 years but have not yet received benefits from continuing contributions.
Under current regulations, workers who have continuously or intermittently paid unemployment insurance for a total of 12 years are entitled to a maximum of 12 months of unemployment benefits when they leave their job. For those who have contributed for over 12 years without claiming benefits, additional contributions do not carry over to future benefit claims; workers are still only eligible for up to 12 months.
The Vietnam General Confederation of Labor suggests removing the rule that prevents the accumulation of contribution time beyond 12 years to avoid situations where workers might leave their jobs solely to claim their benefits and avoid losing their contributions. Specifically, workers might leave their jobs every 12 years to fully utilize their unemployment benefits. Some workers with shorter employment cycles might work for only one year and then leave to claim one month’s benefit.
To address this, the Confederation proposes that workers who have paid for over 144 months without claiming benefits should no longer need to contribute to the Unemployment Insurance Fund. Instead, these funds could be redirected to other social insurance schemes to enhance retirement benefits. Alternatively, the contributions could be refunded to the workers.
The Confederation warns that without allowing the accumulation of contribution time, many workers may choose to leave their jobs to claim the maximum unemployment benefits, making it difficult for them to re-enter the welfare system or forcing them to opt for a one-time social insurance withdrawal.
Previously, the unclear regulation caused frustration among workers who could not receive more than 12 months of benefits despite having worked continuously for 30-40 years. However, with the recent clarification that workers are not entitled to more than 12 months of benefits regardless of their contribution years, a short-term surge in workers leaving their jobs to claim benefits is expected.
To address this issue, the proposal to stop requiring contributions after 12 years is reasonable. Additionally, the proposal should include conditions to ensure the rights of workers who have contributed for over 144 months but do not yet need to claim unemployment benefits.
The draft amended Employment Law, expected to be approved on June 25 and take effect on July 1, 2025, is still under discussion and public consultation to refine policies that protect workers’ rights.
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