The Government issued a Resolution to directly support people in difficulties due to COVID-19

 

On April 9, 2020, the Prime Minister signed a Resolution on measures to support people in difficulties due to the Covid-19 epidemic.

Accordingly, the subjects eligible for support will be supported for no more than 03 months from April 1st, 2020 with the following amount:

  1. Employees working under the labor contract have to be suspended the performance of labor contracts, take leave without pay for 1 month or more due to enterprises struggling with the COVID-19 pandemic, no revenue no financial source to pay salary, employees shall be supported with VND 1.8 million / person / month.
  2. The employees are terminated the labor contract but are not eligible for unemployment benefits; employees without labor contracts who lose their jobs shall be entitled to VND 1 million / person / month.
  3. People with meritorious services to the revolution, who are enjoying monthly preferential allowances, shall receive an additional support of VND 500,000 / person / month.
  4. Social protection beneficiaries who are receiving monthly social allowances are supported with an additional VND 500,000 / person / month.
  5. Poor and nearly poor households according to the national poverty line on the list till December 31, 2019 are supported VND 250,000 / person / month.
  6. Individual business households that have a revenue of less than VND 100 million / year and suspend business from April 1, 2020 are supported with VND 1 million / household / month.
  7. For employers who are in financial difficulties and have paid in advance at least 50% of severance pay for employees under Clause 3, Article 98 of the Labor Code, from April to June 2020 it is allowed to borrow without collaterals up to 50% of the regional minimum salary for each employee according to the actual pay period but not more than 3 months with 0% interest rate, the maximum loan term is 12 months at Social policy bank to pay the remaining salaries and disburse monthly directly to the unemployed.

 

Regarding social insurance issues:

The Government Resolution also stated that: Employers affected by the COVID-19 pandemic resulted in a 50% or more reduction of employees joining in social insurance from the time of the competent authority (including employees have stopped working, temporarily suspends the performance of a labor contract, or makes an agreement on leave without pay), the employee and the employer are temporarily suspended to contribute to the retirement and survivorship fund no more than 12 months.

The resolution also allows workers to send unemployment benefit applications by mail, a notice of monthly job search done indirectly (email, fax, by post …) from April 1st, 2020 until the end of the epidemic without having to ask for certification of a commune, ward or township People’s Committee about the situation of an epidemic in the locality.