Participating in compulsory social insurance is the responsibility of every business when starting to employ employees. However, not all businesses are fully aware of the jobs related to this responsibility, especially new businesses coming into operation. There are 05 points to note for businesses when participating in compulsory social insurance as follows:
1. Compulsory participants in social insurance
Currently, there are groups of objects that every business uses to meet the needs of production and business that are:
Employees working under labor contracts with a term from full 01 month to less than 03 months
- The employee works under an indefinite term labor contract, a fixed-term labor contract from 12 to under 36 months, a seasonal labor contract or a specific job with a term from full 03 months to less than 12 months
- Business managers with salaries
The employee is a foreigner (must have a work permit, practice license or legal practice license)
All the above subjects must participate in compulsory social insurance (according to Article 2 of the Law on Social Insurance 2014), so the employer is responsible for participating in social insurance for these employees.
2. When must enterprises participate in compulsory social insurance for employees?
Within 30 days from the date of concluding the labor contract or working contract, the employer must submit the social insurance registration dossier to the employee (according to Decision 772 / QD-BHXH).
3. Must pay in full and on time
According to Decision 595 / QD-BHXH, the compulsory social insurance premium of enterprises and employees is specified as follows:
- The rate of compulsory social insurance contribution is as follows:
About the closing deadline:
- The enterprise can choose to pay the insurance by the method of paying monthly, every 03 months or every 06 months to the collection account of the social insurance agency opened at banks or state treasury.
+ If paying monthly: by the last day of the month
+ If the payment is made every 03 or 06 months: the latest is the last day of the payment period (applicable to enterprises, cooperatives, individual business households ... pay salary by product or contract)
4. Timely adjust when there is a change
For cases of labor increase / reduction, enterprise name change, business registration office, enterprise identification number, change of employee's monthly salary paid for social insurance…, the enterprise must carry out adjustment procedures. Timely with the social insurance agency to avoid affecting the interests of employees as well as their own enterprises.
5. Employees work in many places
According to Article 4 of Decree 44/2013 / ND-CP stipulating the responsibility to participate in insurance for employees of enterprises as follows:
- For compulsory social insurance and unemployment insurance: if the enterprise is the first employer that the employee signed, he / she must participate in compulsory social insurance and unemployment insurance for employees.
- For health insurance: if the labor contract between the enterprise and the employee has the highest salary, the enterprise must participate in health insurance for the employee.
An enterprise that is one of the remaining users (Monday, Tuesday, etc.) must pay at the same time an employee's salary an amount equivalent to the compulsory social insurance, unemployment insurance and health insurance. under my responsibility.
See full text
- Decision No. 595 / QD-BHXH, promulgating the collection process of social insurance, health insurance, unemployment insurance and occupational disease insurance; manage social insurance books and health insurance cards
- Decision No. 772 / QD-BHXH on the announcement of alternative administrative procedures in the field of collection of social insurance, health insurance, unemployment insurance, occupational accident and disease insurance; issue social insurance books and health insurance cards under the jurisdiction of Vietnam Social Insurance.