In 2018 foreign workers in Vietnam will be participating in social insurance. So how are their insurance premiums? What is the maximum limit for participation in health insurance, social insurance of foreign workers?
The first, on social insurance:
Pursuant to Clause 2, Article 4 of Decision No. 595/QD-BHXH April 14, 2017:
“Article 4.- Subjects defined in Article 2 of the Law on Social Insurance and documents guiding the implementation thereof, specifically as follows:
2. Employees being foreign citizens working in Vietnam having work permits or practicing certificates or practicing licenses granted by competent Vietnamese agencies (from January 1, 2018 as regulated by the Government).”
Pursuant to Article 5 of Decision No. 595 / QD-BHXH of April 14, 2017 stipulating the social insurance premiums for employees:
“1.5. Laborers defined in Clause 2 of Article 4 shall comply with the Government’s regulations and the guidance of Vietnam Social Insurance.”
As of January 1, 1818, foreign workers who work in Vietnam have a work permit or a practicing certificate or a license issued by a competent Vietnamese authority. Social insurance. However, the Government has not yet issued a guiding document on the maximum level of social insurance premiums and limits for foreign workers.
The second, on health insurance:
Pursuant to Clause 1, Article 17 of Decision No. 595 / QD-BHXH of April 14, 2017:
“Article 17 – Subjects participating in health insurance under Article 12 of Law No. HYT and documents guiding the implementation thereof, concretely as follows:
1. Laborers working under labor contracts with indefinite terms, labor contracts with term of full 3 months or more, laborers being managers of enterprises, managing and administering cooperatives enjoying wages and working in the labor force. agencies, units and organizations defined in Clause 3 of Article 4. “
On the other hand, in Article 18 of Decision No. 595 / QD-BHXH of April 14, 2017 stipulating the health insurance premiums:
“1. For objects defined at Points 1.1, 1.2 and Clause 1, Article 17: the monthly payment rate is equal to 4.5% of the monthly wage, of which the employer pays 3%; Laborers pay 1.5%. The monthly salary paid for health insurance is the monthly salary for compulsory social insurance stipulated in Article 6. “
Accordingly , the law on health insurance does not discriminate against employees who are Vietnamese citizens or foreigners. That is, foreign workers are also subject to the current Law on Health Insurance and have to participate in health insurance if they work under indefinite term labor contracts or contracts with a term of three month or more. Health insurance premiums for foreign employees are 1.5% of the monthly salary for compulsory social insurance.
Maximum salary to calculate the amount of health insurance premiums is stipulated in Clause 8, Article 1 of the Law on Health Insurance amended in 2014:
“Maximum monthly salary for calculation of health insurance premium is 20 times of base salary.”
The Decree No. 47/2017 / ND-CP are: ” 2. From 1 July 2017, the base wage is 1,300,000 VND / month. “
Conclude:
Foreign workers from January 1, 2015 will be entitled to social insurance contributions. Accordingly, there are no specific documents guiding the payment of social insurance contributions by foreigners.
For medical insurance: foreign laborers working in Vietnam under labor contracts of 3 months or more must participate in health insurance. Health insurance premiums for foreign employees are 1.5% of the monthly salary for compulsory social insurance.
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