support policies and eligibility criteria for unemployment benefits in Vietnam, support policies for unemployment benefits in Vietnam, eligibility criteria for unemployment benefits in Vietnam, support policies and eligibility criteria for unemployment benefits,

Support policies and eligibility criteria for unemployment benefits in Vietnam

In addition to the monetary unemployment benefits, unemployed individuals who meet the criteria for receiving unemployment benefits in Vietnam can access other support policies under the unemployment insurance scheme. This is one of the lesser-known aspects, leading to a lack of awareness among the workforce, thereby hindering their ability to fully avail the benefits from these policies.

According to the regulations in Article 42 of the 2013 Labor Code, unemployment insurance policies include unemployment benefits, job counseling and referral support, vocational training support, and training to enhance skills and maintain employment for the workforce. Each of these policies has specific eligibility criteria.

Eligibility Criteria for Unemployment Benefits

Based on Article 49 of the 2013 Labor Code, individuals who wish to receive unemployment insurance benefits must fulfill the following conditions:

  • Termination of Employment Contract: The individual must have had their labor contract terminated, except in cases of unilateral termination of the contract contrary to the law, retirement, or receiving monthly retirement pensions or loss of working capacity benefits (with specific documented evidence).
  • Payment of Unemployment Insurance Premiums: The individual must have paid unemployment insurance premiums for at least 12 months within the 24 months preceding the termination of the labor contract (Both the employee and the employer must contribute to the premiums).
  • Application Submission: The individual must submit the application for unemployment benefits to the employment service center within three months from the date of contract termination.
  • Unsuccessful Job Search: The individual must not have found new employment within 15 days from the date of submitting the application to the employment service center.

The maximum benefit for receiving unemployment benefits is not more than 5 times the base salary level for employees under the state-prescribed wage scale or not more than 5 times the regional minimum wage according to the regulations of the Ministry of Labor, War Invalids, and Social Affairs for those employees following the wage scale determined by enterprises.

The duration for receiving unemployment benefits is calculated based on the number of months for which the unemployment insurance premiums have been paid. Specifically, individuals who have paid premiums for 12 to 36 months are eligible for 3 months of unemployment benefits. Additionally, for every additional 12 months of premium payments, an extra month of benefits is granted, with a maximum cap of 12 months.

The monthly unemployment benefit amount is 60% of the average monthly wage over the last 6 continuous months for which unemployment insurance premiums have been paid.

Support for Job Counseling and Referral

According to Article 54 of the 2013 Labor Code, individuals who are unemployed and covered under the unemployment insurance scheme are eligible for job counseling and referral services. They can receive these services from employment service centers without having to pay any fees.

Support for Vocational Training

According to Article 55 of the 2013 Labor Code, individuals are eligible for vocational training support if they meet the following criteria:

  • Termination of labor contract or work agreement.
  • Payment of unemployment insurance premiums for at least 9 months within the 24 months preceding the termination of the labor contract or work agreement.
  • Submission of the vocational training support application to the employment service center within 3 months from the date of contract termination.
  • Unsuccessful job search within 15 days from the date of submitting the application to the employment service center.

Support for Training to Maintain Employment

The training support policy to maintain employment applies to employers, not employees. To qualify for this support, employers must meet the following conditions:

  • Full payment of unemployment insurance premiums for the employees intended to receive training for at least 12 months until the date of the training proposal.
  • Facing economic difficulties or having to restructure due to technology changes.
  • Insufficient funds to organize training to enhance the employees’ skills and maintain their employment.
  • Approval of the training plan by the competent authority.

These policies aim to provide financial and employment-related assistance to individuals affected by unemployment, offering them avenues for skill enhancement, job referrals, and support in finding new employment opportunities.

ASL LAW is the top-tier Vietnam law firm for Employment and Labor Law. If you need any advice, please contact us for further information or collaboration.

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