Overview of Compulsory Insurance System in Vietnam
Under Vietnam social security system, if an employer signs a labour contract with a Vietnamese employee for more than one month, the compulsory insurances applicable to both employer and employee include: (1) social insurance, (2) health insurance, and (3) unemployment insurance.
The contribution rates for the employer and Vietnamese employee are as follows:
|
|
Social insurance
|
Health Insurance
|
Unemployment Insurance
|
Total
|
|
Employer
|
17.5%
|
3%
|
1%
|
21.5%
|
|
Employee
|
8%
|
1.5%
|
1%
|
10.5%
|
|
Total
|
32%
|
Foreign employees holding a work permit and employed under a Vietnam labour contract with an indefinite term or a definite term of 1 year or more shall participate compulsory social insurance. And foreign employees that are employed under a Vietnam labour contract for at least 3 months shall participate compulsory health insurance. Unemployment insurance currently does not apply to foreign employees.
The current contribution rates for the employer and foreign employee are as follows:
|
|
Social insurance
|
Health Insurance
|
Unemployment Insurance
|
Total
|
|
Employer
|
3.5%
|
3%
|
Not Applicable
|
6.5%
|
|
Employee
|
0
|
1.5%
|
Not Applicable
|
1.5%
|
|
Total
|
8%
|
The contribution rates for the employer and foreign employee from 1 January 2022 are as follows:
|
|
Social insurance
|
Health Insurance
|
Unemployment Insurance
|
Total
|
|
Employer
|
17.5%
|
3%
|
Not Applicable
|
20.5%
|
|
Employee
|
8%
|
1.5%
|
Not Applicable
|
9.5%
|
|
Total
|
30%
|
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