Circular 06/2021/TT-BLDTBXH amending Circular 59/2015/TT-BLDTBXH guiding the Law on Social Insurance on compulsory social insurance

CIRCULAR
Amending and supplementing a number of articles of the Circular No. 59/2015/TT-BLDTBXH dated December 29, 2015, of the Ministry of Labor, Invalids and Social Affairs, detailing and guiding the implementation of a number of articles of the Law on Social Insurance on compulsory social insurance

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

Pursuant to the Resolution No. 93/2015/QH13 dated June 22, 2015, of the National Assembly on implementation of policy on entitlement to one-time social insurance for the employees.

Pursuant to Decree No. 115/2015/ND-CP dated November 11, 2015, of the Government detailing a number of articles of the Law on Social Insurance on compulsory social insurance;

Pursuant to Decree No. 135/2020/ND-CP dated November 18, 2020, of the Government stipulating the retirement age;

Pursuant to Decree No. 14/2017/ND-CP dated February 17, 2017, of the Government, defining the functions, duties, power, and organizational structure of the Ministry of Labor, Invalids and Social Affairs;

At the request of the Director of the Department of Social Insurance;

The Minister of Labor, Invalids and Social Affairs issues the Circular amending and supplementing a number of articles of the Circular No. 59/2015/TT-BLDTBXH dated December 29, 2015, of the Ministry of Labor, Invalids and Social Affairs detailing and guiding the implementation of a number of articles of the Law on Social Insurance on compulsory social insurance.

Article 1. Amending and supplementing a number of articles of the Circular No. 59/2015/TT-BLDTBXH dated December 29, 2015, of the Ministry of Labor, Invalids and Social Affairs detailing and guiding the implementation of a number of articles of the Law on Social Insurance on compulsory social insurance

1. The following content is added at the end of Clause 1, Article 2:

“Persons who work part-time in communes, wards, and townships and concurrently enter into labor contracts as prescribed at Points a and b, Clause 1, Article 2 of the Law on Social Insurance shall participate in compulsory social insurance covering the subjects prescribed at Points a and b, Clause 1, Article 2 of the Law on Social Insurance.”

2. Point b, Clause 2, Article 6 is amended as follows:

“b) A month of leave entitled to sickness regime shall be counted from the beginning date of the sickness leave in such month to the date preceding to the next month. If the surplus days do not make a month (incomplete month), the sickness allowance for such days shall be calculated as follows, but its maximum shall be equal to the monthly allowance:

In which:

- The rate of sickness allowance is prescribed in Point a of this Clause.

- The surplus days of the leave entitled to sickness regime is inclusive of public holidays, New Year holidays and weekends.

Example 9: Ms. N is participating in the compulsory social insurance and has to take leave due to diseases on the list of diseases requiring long-term treatment from May 29, 2021, to August 25, 2021. Given that Ms. N’s salary of April 2021 on which her social insurance premiums are based is VND 8,000,000 and the rate of allowance for her entire leave is 75%.

- The number of months of Ms. N’s leave entitled to sickness regime is 2 (from May 29 to July 28, 2021);

- The number of surplus days of Ms. N’s leave is 28 days (from July 29 to August 25, 2021).

- The monthly sickness allowance for Ms. N is VND 8,000,000 x 75% = VND 6,000,000.

- The sickness allowance in the surplus days for Ms. N is calculated as below:

Because the sickness allowance in 28 surplus days calculated as above (VND 7,000,000) is higher than the monthly sickness allowance (VND 6,000,000), so the sickness allowance for Ms. N's surplus days shall be equal to the monthly allowance, which is VND 6,000,000.

Therefore, Ms. N's total sickness allowance due to diseases on the list of diseases requiring long-term treatment from May 29, 2021, to August 25, 2021 is: VND 6,000,000 x 02 months + VND 6,000,000 = VND 18,000,000.”

3. The following content is added at the end of Clause 3, Article 6:

“Employees subject to compulsory social insurance contributions to the sickness and maternity fund suffer a disease or accident that is not a labor accident or have to take leave to take care of their sick child under 7 years old, if their leave period is 14 working days or more in a month (including unpaid leave), the sickness allowance shall be calculated by the salary of the month preceding their leave on which their social insurance premiums are based. In cases where the employees remain sick in the following months and have to extend their leave, the allowance of the sickness regime shall be calculated by the salary of the month preceding their leave on which the social insurance premiums are based.”

4. Clause 1a is added after Clause 1, Article 7 as follows:

“1a. The maximum leave period for convalescence and health rehabilitation in one year shall comply with the provisions of Clause 2, Article 29 of the Law on Social Insurance. The maximum leave period for convalescence and health rehabilitation of one person in one year shall be based on his/her last sickness leave before taking the leave for convalescence or health rehabilitation (suffering a disease on the list of diseases requiring long-term treatment, undergoing an operation, or other cases).”

5. Points c and d are added to Clause 2, Article 9 as follows:

“c) If the mother participates in social insurance but is not eligible for the maternity regime upon childbirth, and the father fully meets the conditions prescribed at Point a of this Clause, the father shall be entitled to a lump-sum allowance upon birth as prescribed in Article 38 of the Law on Social Insurance.

d) The determination of the 12-month period before childbirth for male employees and husbands of intended mothers entitled to lump-sum allowance upon childbirth shall comply with the provisions of Clause 1 of this Article.”

6. The first paragraph of Clause 3, Article 10 is amended as follows:

“3. Where a female employee has pregnancy with twins or more infants and her baby (babies) is dead at birth or stillborn, she shall enjoy maternity allowance for childbirth and lump-sum allowance upon childbirth for her babies, including the dead ones.”

7. Clauses 4 and 5 are added to Article 10 as follows:

“4. Male employees currently paying compulsory social insurance premiums to the sickness and maternity fund, when their wives give birth to children, shall be entitled to take maternity leave as prescribed in Clause 2, Article 34 of the Law on Social Insurance; in case of taking multiple leaves, the start of the last leave must still be within the first 30 days from the date the wives give birth, and the total number of maternity leaves must not exceed the prescribed number.

5. When calculating the maternity leave periods as prescribed in Article 32, Article 33, Clause 2 of Article 34 and Article 37 of the Law on Social Insurance, if the employees are taking their annual leaves, personal leaves, or unpaid leaves as prescribed in the law provisions on labor, the periods coincides with their annual leaves, personal leaves, or unpaid leaves shall not be entitled to the regime; the leave period other than the annual leave, personal leave, unpaid leave shall be entitled to the maternity regime as prescribed in Article 32, Article 33, Clause 2 of Article 34 and Article 37 of the Law on Social Insurance.”

8. The following content is added at the end of Clause 1, Article 13:

“The first 30 working days as prescribed in Clause 1, Article 41 of the Law on Social Insurance mean 30 working days after the maternity leave period in which the employees’ health has not yet recovered.

Female employees who go to work prior to the expiration of the maternity leave period as prescribed in Article 40 of the Law on Social Insurance shall not be entitled to the convalescence and health rehabilitation regime after the period of enjoying the maternity regime upon childbirth.”

9. Clauses 3 and 4 are added to Article 13 as follows:

“3. For female employees who have been, within a year, entitled to not only the convalescence and health rehabilitation after the maternity leave period prescribed in Article 33 of the Law on Social Insurance; but also the convalescence and health rehabilitation after the maternity leave period prescribed in Clause 1 or 3, Article 34 of the Law on Social Insurance, each of their leave periods for convalescence and health rehabilitation in the year must not exceed the maximum period prescribed in Clause 2, Article 41 of the Law on Social Insurance.

4. If the employees do not take the leave, they shall not be entitled to the convalescence and health rehabilitation regime.”

10. Article 14 is amended as follows:

“Article 14. Dossier and settlement of maternity regime

1. The dossier and settlement of maternity, convalescence and health rehabilitation regimes shall comply with the provisions in Articles 101, 102 and 103 of the Law on Social Insurance and Article 5 of the Decree No. 115/2015/ND-CP.

2. The employees shall submit their dossiers as prescribed to the employers, but not later than 45 days after returning to work.

Where the employees terminate their labor contracts or work contracts, or resign before the time of childbirth, child receipt, or child adoption, they should submit their dossiers and present their social insurance books to the social insurance agencies.”

11. Clause 2, Article 15 is amended as follows:

"2. The determination of the time of doing heavy, hazardous, or dangerous occupations or jobs, or especially heavy, hazardous, and dangerous occupations or jobs, and working in areas with extremely difficult socio-economic conditions, including those with a region-based allowance coefficient of 0.7 or higher before January 1, 2021, to serve as a basis for considering conditions for pension enjoyment, shall be implemented as follows:

a) For employees who are doing heavy, hazardous, or dangerous occupations or jobs or extremely heavy, hazardous, or dangerous occupations or jobs on the list jointly issued by the Ministry of Labor, Invalids and Social Affairs or working in areas with extremely difficult socio-economic conditions, including those with a region-based allowance coefficient of 0.7 or higher before January 1, 2021:

a1) The time when the employees have to take leave for treatment or occupational rehabilitation due to labor accidents or occupational diseases (if their employers fully pay their salaries and social insurance premiums) shall be counted.

a2) The period when the employees are assigned to work, study or participate in labor cooperation programs without doing heavy, hazardous, or dangerous occupations or jobs or extremely heavy, hazardous, or dangerous occupations or jobs on the list jointly issued by the Ministry of Labor, Invalids and Social Affairs or working in areas with extremely difficult socio-economic conditions, including those with a region-based allowance coefficient of 0.7 or higher before January 1, 2021shall not be counted.

a3) The time which is short from the period of social insurance premium payment so that the employees have paid lump-sum amounts to the retirement and survivorship fund in order to enjoy pensions shall not be counted.

b) The determination of the time of working in areas with a region-based allowance coefficient of 0.7 or higher before January 1, 1995 to serve as a basis for considering conditions for pension enjoyment shall comply with the provisions of the Joint Circular No. 11/2005/TTLT-BNV-BLDTBXH-BTC-UBDT dated January 5, 2005 of Ministries of Home Affairs, Labor, Invalids and Social Affairs, Finance, and the Committee for Ethnic Minority Affairs (hereinafter referred to as Joint Circular No. 11/2005/TTLT-BNV-BLDTBXH-BTC-UBDT). For the areas which are not prescribed in the Joint Circular No. 11/2005/TTLT-BNV-BLDTBXH-BTC-UBDT or have a region-based allowance coefficient lower than 0.7, but in fact the employees have had working time in areas with a region-based allowance coefficient of 0.7 or higher as prescribed in the previous documents prescribing region-based allowances, the determination of the time of working in areas with a region-based allowance coefficient of 0.7 or higher to serve as a basis for considering conditions for pension enjoyment shall comply with the provisions of such documents.

The employees’ time of working on battlefields B and C before April 30, 1975, and battlefield K before August 31, 1989, shall be counted as the time of working in areas with a region-based allowance coefficient of 0.7 or higher to serve as a basis for considering conditions for pension enjoyment.”

12. Point c is added to Clause 3, Article 15 as follows:

“c) Female employees who are commune-level cadres and civil servants or part-time staffs in communes, wards or townships after having paid social insurance premiums for between full 15 years and under 20 years, and have quit their jobs and have their period of social insurance premium payment reserved before January 1, 2016; From January 1, 2016 onward, if they wish and fully meet the pension age conditions, they will be entitled to pension enjoyment according to Clause 3, Article 54 of the Law on Social Insurance as amended and supplemented at Point a, Clause 1 Article 219 of the 2019 Labor Code.

In case of continuing to pay voluntary social insurance premiums, their pension enjoyment shall comply with the provisions of Clause 4, Article 4 of the Circular No. 01/2016/TT-BLDTBXH dated February 18, 2016, of the Ministry of Labor, Invalids and Social Affairs.

In case of continuing to pay compulsory social insurance premiums (but no longer being commune-level cadres or civil servants, or part-time staffs in communes, wards, or townships), their pension enjoyment shall comply with the provisions of Clauses 1, 4 of Article 54, and Article 55 of the Law on Social Insurance as amended and supplemented at Points a and b, Clause 1, Article 219 of the 2019 Labor Code.”

13. Clause 5 is added to Article 15 as follows:

“5. If the employees prescribed at Points dd and e, Clause 1, Article 2 of the Law on Social Insurance are deprived of their military citizenship or of the people's police title, the conditions for pension enjoyment shall comply with the provisions of Clause 1, Article 54, and Clause 1, Article 55 of the Law on Social Insurance as amended and supplemented at Points a and b, Clause 1, Article 219 of the 2019 Labor Code and guided in this Circular.”

14. Article 16 is amended as follows:

“Article 16. Conditions to enjoy pension upon decrease in working capacity

1. From January 1, 2021, the conditions for employees to enjoy pension when suffering working capacity decrease shall comply with the provisions of Article 55 of the Law on Social Insurance as amended and supplemented at Point b, Clause 1, Article 219 of the 2019Labor Code.

2. The determination of the age threshold for calculating the years of early retirement to serve as a basis for calculating the reduction rate in their pension as prescribed in Clause 3, Article 56 of the Law on Social Insurance shall comply with the provisions of Clause 3, Article 7 of the Decree No. 135/2020/ND-CP dated November 18, 2020 of the Government prescribing the retirement age (hereinafter referred to as Decree No. 135/2020/ND-CP), in which the time of early retirement of the employees shall serve as a basis to determine their age threshold for retirement prescribed in Clause 2, Article 4 and Clause 2, Article 5 of the Decree No. 135/2020/ND-CP.”

15. Clause 1, Article 17 is amended as follows:

“1. The monthly pension of employees who fully satisfy the conditions prescribed in Article 16 of this Circular shall be calculated in accordance with the provisions in Clause 1 and 2, Article 7 of the Decree No. 115/2015/ND-CP and then reduced by 2% for each year of early retirement prior to the prescribed retirement age.

Example 24: Ms. A is 53 years old and has worked under normal conditions. Her working capacity is reduced by 61%. She has 26 years and 04 months of social insurance payment and retired on June 1, 2016. The pension rate of Ms. A is calculated as follows:

- 45% for the first 15 years;

- From the 16^th year to the 26^th year, or 11 years in total: 11 x 3% = 33%;

- 04 months is counted as ½ year: 0.5 x 3% = 1.5%

- The total rate is 45% + 33% + 1,5% = 79,5% (rounded to the prescribed maximum pension rate of 75%);

- Ms. A retires 02 years prior to the prescribed retirement age of 55, therefore, her pension rate is reduced by 2 x 2% = 4%;

Therefore, the monthly pension rate of Ms. A is 75% - 4% = 71%. Additionally, because Ms. A has paid social insurance premiums for a period exceeding the number of years corresponding to the prescribed maximum pension rate of 75% (over 25 years), she is entitled to a lump-sum allowance upon retirement equal to 1.5 x 0.5 of the average of the monthly salaries on which social insurance premiums are based.

a) In case an employee’s age is short of under 6 months compared to the retirement age, his/her pension rate shall not be reduced, but if it is short of 6 months or more, the pension rate shall be reduced by 1%.

b) The age threshold for calculating the years of early retirement to serve as a basis for calculating the pension reduction rate shall comply with the provisions in Clause 3, Article 7 of the Decree No. 115/2015/ND-CP.

From January 1, 2021 onwards, the age threshold for calculating the years of early retirement to serve as a basis for calculating the pension reduction rate shall comply with the provisions of Clause 3, Article 7 of the Decree No. 135/2020/ND-CP.

Example 25: Ms. K’s working capacity is reduced by 61% under normal working conditions and she resigned to enjoy pension in April 2021 when she was 50 years and 5 months old. She has 28 years of social insurance payment. Her pension rate is calculated as follows:

- 45% for the first 15 years;

- From the 16^th year to the 28^th year, or 13 years in total: 13 x 2% = 26%;

- The total of pension rate is: 45% + 26% = 71%;

- Ms. K retired when she was 50 years and 5 months old (4 years and 11 months prior to when she is full 55 years and 4 months old), so the reduction rate due to early retirement is 9% (4x2% + 1% = 9%);

Therefore, the monthly pension rate of Ms. K is 71% - 9% = 62%.

Example 26: Mr. Q was born on January 14, 1967, and resigned to enjoy pension on November 1, 2021, when he was full 49 years old. He has 34 years of social insurance payment, including full 15 years of doing heavy, hazardous, or dangerous occupations and jobs; his working capacity is reduced by 61%. The pension rate of Mr. Q is calculated as follows:

- 45% for the first 19 years;

- From the 20^th year to the 34^th year, or 15 years in total: 15 x 2% = 30%;

- The total pension rate is: 45% + 30% = 75%;

- At the time of retirement, Mr. Q was 54 years, 9 months, and 17 days old, which means his age is short of under 6 months compared to the retirement age (55 years and 3 months), therefore, his pension rate shall not be reduced.

Therefore, the monthly pension rate of Mr. Q is 75%.”

16. Clauses 3 and 4 are added to Article 17 as follows:

“3. For part-time staffs in communes, wards and townships having paid compulsory social insurance premiums for full 20 years or more not as part-time staffs in communes, wards, and townships, if when they retire, their pension is lower than the basic salary at the time of pension enjoyment, their lowest monthly pension shall be equal to the basic salary.

4. The determination of the years of paying social insurance premiums corresponding to the pension enjoyment rate equal to 45% shall be based on the time when employees start enjoying the monthly pension.”

17. Clause 5, Article 18 is amended as follows:

“5. The time to enjoy pension for cases without original dossiers prescribed at Point b, Clause 2, Article 3 of the Decree No. 89/2020/ND-CP dated August 4, 2020, of the Government defining the functions, duties, power, and organizational structure of the Vietnam Social Security is the time recorded in the written resolution of the Vietnam Social Security.”

18. The last paragraph of Clause 1, Article 20 is amended as follows:

“The monthly salary on which social insurance premiums are based is the salary adjusted in accordance with the provisions of Clause 1, Article 63 of the Law on Social Insurance.”

19. Clause 3a is added after Clause 3, Article 20 as follows:

“3a. When calculating the average of the monthly salaries on which social insurance premiums are based to serve as a basis for calculation of pensions or lump-sum allowances with the time of paying social insurance premiums before October 1, 2004 under the salary regime prescribed by the State, the monthly salary on which social insurance premiums are based of such time shall be converted under the salary regime at the time of enjoying the retirement and survivorship allowances. Particularly for employees who have worked in enterprises paying social insurance premiums under the salary regime prescribed by the State and enjoy social insurance allowances from January 1, 2016, onward, the monthly salary on which the social insurance premiums are based before October 1, 2004 shall be converted under the salary regime prescribed in Decree No. 205/2004/ND-CP dated December 14, 2004 of the Government.”

20. Clause 4, Article 20 is amended as follows:

“4. The pensions of employees subject to the salary regime prescribed by the State, who have paid social insurance premiums including occupation-based seniority allowances and then shifted to other jobs with/without seniority allowances before retirement, shall comply with the provisions of Clause 6, Article 9 of the Decree No. 115/2015/ND-CP and the following guidelines:

a) If the occupation-based seniority allowances are not included in the monthly salaries on which social insurance premiums are based in the last years before retirement which serve as a basis for calculation of pensions, the average of the monthly salaries on which social insurance premiums are based in the last years before retirement, plus the highest occupation-based seniority allowances (if enjoyed) in the time of paying social insurance premiums including the seniority allowances converted under the salary regime at the time of retirement, shall be taken as a basis for calculation of the pensions.

b) If the occupation-based seniority allowances are included in the monthly salaries on which social insurance premiums are based in the last years before retirement which serve as a basis for calculation of pensions, the average of the monthly salaries on which social insurance premiums are based serving as a basis for calculation of the pensions shall comply with the provisions of Clause 1, Article 9 of the Decree No. 115/2015/ND-CP and Clause 1 of this Article.

c) If in the last year before retirement, the occupation-based seniority allowances are sometimes included in the monthly salaries on which social insurance premiums are based serving as a basis for calculation of pensions and sometimes they are not, the provisions at Point b of this Clause shall prevail. If in the time of paying social insurance premiums, the adjoining occupation-based seniority allowances included are sometimes higher than the monthly salaries on which social insurance premiums are based in the last years before retirement, the monthly salaries on which social insurance premiums are based, including the adjoining occupation-based seniority allowances corresponding to the number of years prescribed in Clause 1 of this Article (converted under the salary regime prescribed at the time of pension enjoyment), shall be taken to calculate the average of the monthly salaries on which the social insurance premiums are based.

Example 40: Mr. P, formerly a Senior Lecturer, started working before 1995 and has worked for a period of time with occupation-based seniority allowances as well as a period of time without occupation-based seniority allowances. Mr. P resigned to enjoy pension from April 1, 2021, and has 36 years and 6 month of paying social insurance premiums in total, of which 32 years he was entitled to occupation-based seniority allowances. Mr. P's salaries in the last years before his retirement on which the social insurance premiums are based as follows:

- From April 2011 to August 2011 = 5 months, the salary coefficient is 6.2 without occupation-based seniority allowances;

- From September 2011 to March 2012 = 7 months, the salary coefficient is 6.2, the seniority allowance rate is 26%;

- From April 2012 to March 2013 = 12 months, the salary coefficient is 6.2, seniority allowance is 27%;

- From April 2013 to March 2014 = 12 months, the salary coefficient is 6.2, the seniority allowance rate is 28%;

- From April 2014 to March 2015 = 12 months, the salary coefficient is 6.56, the seniority allowance rate is 29%;

- From April 2015 to March 2016 = 12 months, the salary coefficient is 6.56, the seniority allowance rate is 30%;

- From April 2016 to March 2019 = 36 months, the salary coefficient is 6.92, without occupation-based seniority allowances;

- From April 2019 to March 2020 = 12 months, the salary coefficient is 7.28, the seniority allowance rate is 31%;

- From April 2020 to March 2021 = 12 months, the salary coefficient is 7.28, the seniority allowance rate is 32%;

In Mr. P’s case, the pension calculated by the average monthly salaries on which social insurance premiums are based in the last 5 years before his retirement (from April 2016 to March 2021) is lower than the pension calculated by the average of the monthly salaries on which social insurance premiums are based in 5 consecutive years with occupation-based seniority allowance (from April 2011 to March 2016). Therefore, the average of the monthly salaries to serve as a basis for calculation of Mr. P's pension is the average of the monthly salaries on which social insurance premiums are based in 5 years, from April 2011 to March 2016.”

21. Clause 6 is added to Article 20 as follows:

“6. For employees having worked before January 1, 1995 and been recognized as having paid social insurance premiums without salaries during such time (remunerated by points or food, such as preschool teachers, heads of commune-scale cooperatives…), such time of paying social insurance premiums shall only be counted for regime enjoyment (pension enjoyment rate,...); the average of the monthly salaries on which social insurance premiums are based serving as a basis for calculation of pensions and social insurance allowances shall exclude the time of paying social insurance premiums without salaries.”

22. The following content is added after the first paragraph of Clause 2, Article 21:

“In cases where there are surplus months from the period of paying social insurance premiums, the provisions of Clause 4, Article 19 of this Circular shall prevail.”

23. The following content is added at the end of Clause 1, Article 25:

“The time at which the age of the employees’ relatives is determined as prescribed in Clause 2, Article 67 of the Law on Social Insurance is the end of the last day of the month of the employees’ death.

When settling the survivorship allowance regime, if the dossiers of the employees’ relatives cannot determine the date of birth, January 1 of the year of birth shall be taken to calculate the age to serve as the basis for settlement of the survivorship allowance regime.

The incomes of the employees’ relatives to serve as a basis for settlement of monthly survivorship allowances as prescribed in Clause 3, Article 67 of the Law on Social Insurance shall be determined in the month of the employees’ death. Relatives who have been entitled to monthly survivorship allowances as prescribed and then have incomes higher than the basic salary shall still enjoy the monthly survivorship allowances.”

24. Article 27a is added after Article 27 as follows:

“Article 27a. Receipt of lump-sum survivorship allowances

1. When determining the child's age to serve as a basis for settlement of the survivorship regime, if the relatives who are eligible for monthly survivorship allowances wish to receive a lump-sum survivorship allowance, the age of a child under 6 years old shall counted towards the end of the month preceding the month of his/her birth in the year he/she is full 6 years old.

2. The cases entitled to lump-sum survivorship allowances or monthly survivorship allowances in accordance with the law provisions shall not return the lump-sum survivorship allowances or monthly survivorship allowances they have received in order to claim for re-entitlement of monthly survivorship allowances or lump-sum survivorship allowances.”

25. Article 27b is added after Article 27 as follows:

“Article 27b. Survivorship regime for persons currently paying social insurance premiums or having their period of social insurance premium payment reserved while being entitled to monthly labor accident and occupational disease allowances.

Upon the death of a person currently paying social insurance premiums or having his/her period of social insurance premium payment reserved while being entitled to monthly labor accident and occupational disease allowance, his/her relatives shall choose to be entitled to the survivorship allowance higher than the allowance of the employee who dies when being entitled to the monthly labor accident or occupational disease allowance, or when paying social insurance premiums or having his/her period of social insurance premium payment reserved.”

26. Clauses 2 and 3 of Article 30 are amended as follows:

“2. From January 1, 2018, to December 31, 2020, the monthly salaries on which social insurance premiums are based are the salaries and salary allowances prescribed in Clause 1 of this Article and other additional amounts as prescribed at Point a, Clause 3, Article 4 of the Circular No. 47/2015/TT-BLDTBXH.

From January 1, 2021 onwards, the monthly salaries on which social insurance premiums are based are the salaries, salary allowances and other additional amounts prescribed at Point a, Item b1 of Point b, and Item c1 of Point c, Clause 5, Article 3 of the Circular No. 10/2020/TT-BLDTBXH dated November 12, 2020 of the Ministry of Labor, Invalids and Social Affairs detailing and guiding the implementation of a number of articles of the Labor Code regarding labor contracts, councils for collective bargaining, occupations and jobs adversely affecting reproductive and child-rearing functions (hereinafter referred to as Circular No. 10/2020/TT-BLDTBXH).

3. The monthly salaries on which the compulsory social insurance premiums are based are not inclusive of other allowances and benefits, such as bonuses prescribed in Article 104 of the Labor Code, initiative bonuses; mid-shift meal allowance; gasoline, telephone, travel, housing, child care, and child rearing allowances; supports for employees whose relatives die or get married, gifts on employees' birthdays, allowances for needy employees suffering from labor accidents or occupational diseases, other supports and allowances recorded in separate sections in the labor contracts as prescribed in Item c2 of Point c, Clause 5, Article 3 of the Circular No. 10/2020/TT-BLDTBXH.”.

27. Point a, Clause 2, Article 31 is added as follows:

“For employees who have worked on battlefield B, and, at the same time, the locations have region-based allowance rates as prescribed in Joint Circular No. 11/2005/TTLT-BNV-BLDTBXH-BTC-UBDT, the higher region-based allowance rates shall prevail.”

28. Point c is added to Clause 2, Article 35 as follows:

“c) For employees who are receiving salaries prescribed by the State before participating in labor cooperation programs and have their time of working overseas included in the last years which serve as a basis for calculation of the average of the monthly salaries on which social insurance premiums are based, the monthly salaries on which social insurance premiums are based in the period of working overseas shall be based on the salary at the time before going abroad in order to serve as the basis for calculation of pensions and social insurance allowances.

For persons who are social workers with their time of participating in labor cooperation programs entitled to pension and survivorship allowances prescribed in Clause 5, Article 23 of the Decree No. 115/2015/ND-CP, their monthly salaries on which their social insurance premiums are based in the period of participating in labor cooperation programs shall serve as a basis for calculation of the average of the monthly salaries on which social insurance premiums are based, which is equal to twice the basic salary at the time of enjoying social insurance allowances.”

29. Clause 3 is added to Article 38 as follows:

“3. For employees who have had decisions of reassignment waiting for the settlement of their pension and monthly allowance regimes, if the working time before January 1, 1995 is counted, as for those waiting to receive their pensions, and before January 1, 1998, as for those waiting to receive monthly allowances, to calculate their social insurance allowances, the pension enjoyment rate or the monthly allowance rate shall be in accordance with the policies at the time the employees have their decisions of reassignment.”

Article 2. Effect

1. This Circular takes effect from September 1, 2021

2. Clause 1, Article 15; Clauses 1 and 2, Article 18 of the Circular No. 59/2015/TT-BLDTBXH dated December 29, 2015 of the Minister of Labor, Invalids and Social Affairs detailing and guiding the implementation of a number of articles of the Law Social Insurance on compulsory social insurance are all annulled.

3. In the course of implementation, if any problems arise, they shall be reported to the Ministry of Labor, Invalids and Social Affairs for timely research and settlement.