News

Reduce the rate of social insurance contributions paid by employers from June 1st, 2017

Decree 44/2017 / ND-CP issued by the Government stipulating compulsory social insurance contribution to the Occupational accident and disease insurance Fund will be effective from June 1st, 2017, abrogating the provisions in Article 4 and Clause 1 of Article 34 of Decree 37/2016/ND-CP:

Article 3. Rate and payment methods of contribution to the occupational accident and disease insurance fund

1. Employers shall monthly contribute to the occupation accident and disease insurance fund specified in Clause 3 Article 44 of the Law on occupational safety and hygiene with the rates as follows:

a) 0.5% of the salary fund for the employees specified in Point a, b, c, d, dd and h Clause 1 Article 2 of the Law on social insurance on which the social insurance premiums are based, except for domestic caretakers.

b) 0.5% of the statutory pay rate applied to the employee specified in Point e Clause 1 Article 2 of the Law on social insurance.

3. Based on the capacity for balancing the insurance fund for occupational accidents and occupational diseases, the Government shall adjust the insurance fund for occupational accidents and occupational diseases premium rates specified in Clause 1 of this Article by January 1, 2020.

Therefore, from June 1st, 2017, the total rate of social insurance contribution paid by Employer (including Social insurance, Health insurance and Unemployment Insurance) will be reduced to 21.5% (new rate), instead of 22% (current). The total rate of social insurance contribution paid by Employee is kept the same – 10.5% as current. With this new provision, enterprises can reduce labor costs and restrict layoffs in the difficult economic situation.

By Marketing Department – Kizuna JV Corporation

Related

10/08/2018, News
Team Building 2018 for...
In September, Kizuna organized a team building for businesses operating in KIZUNA Serviced Factory, with the participation of 5 companies including...
02/28/2019, News
Chuyển đổi thuê bao...
Theo Bộ Thông Tin & Truyền Thông, các thuê bao di động 11 số đã được chuyển đổi sang 10 số. Các thuê bao di động 10...
04/09/2018, News
Certificate of Food Safety...
Pursuant to the Vietnam’s Food Safety Law No. 55/2010/QH12 entered into force on July 1st, 2011 and the relevant decrees and circulars,...
03/20/2019, News
Tổng kết tình hình...
Trong 6 tháng đầu năm 2017, tổng vốn FDI đầu tư vào Việt Nam là 19,22 tỷ USD, tăng 54,8% so với cùng kỳ năm 2016. Cả...
09/06/2018, News
Chia tay và hẹn gặp...
SEAPAC là DN sản xuất sản phẩm phục vụ ngành câu cá cho thị trường Mỹ. Đây là DN Hàn Quốc lần đầu tiên đầu...
09/02/2020, News
Semitec Electronics Vietnam...
On August 13th, 2018, The People’s Committee of Long An Province held a conference on the emulation movement of “Long An integration and...
09/15/2020, News
Nhà xưởng sản xuất...
Khi chọn lựa nhà xưởng sản xuất thì chi phí sẽ được xem là yếu tố "đủ". Vậy thì vị trí nhà xưởng sẽ...
02/28/2018, News
Printing business...
For foreign companies investing in Vietnam for the first time, they must be surprised by the investment procedures as well as the licenses required...