There are misunderstandings about the coffee collection for social insurance contributions

THANH TUẤN |

Gia Lai Enterprises and workers need to sit together to dialogue, negotiate, and resolve problems related to social insurance payments.

There is a misunderstanding

The Gia Lai Provincial Trade Union has just met with businesses and workers to learn about the incident of "collecting coffee to pay social insurance".

First of all, the representative of the Gia Lai Provincial Trade Union requested Ia Sao 1 and 706 Coffee Companies (under Vietnam Coffee Corporation) to soon open a workers' conference for dialogue to make information public and transparent.

In recent days, workers at Ia Sao 1 and 706 coffee companies have reacted to the fact that the enterprise collected 1.7 tons of coffee from workers to convert into social insurance contributions.

According to workers of the companies, with the current sudden increase in coffee prices (1.7 tons of fresh coffee about 43 million VND), the company's social insurance payment exceeds the norm. Because the payment level is about 22-28 million VND/year, depending on the salary level.

Dai dien Cong doan tinh Gia Lai de nghi cong ty som doi thoai voi NLD. Anh: Thanh Tuan
The representative of the Gia Lai Provincial Trade Union requested the company to dialogue with workers soon. Photo: Thanh Tuan

Some workers believe that the way to collect coffee to pay insurance is different, causing damage to their rights. Or where will the surplus money after social insurance payment be accounted for?

Mr. Bui Hai Hau - Deputy Director of Ia Sao 1 Coffee Company said that it is a pity that there is a misunderstanding about the social insurance payment amount.

In fact, the company did not collect the coffee from the workers to pay insurance, but 1.7 tons of this coffee were assets under the management of the enterprise.

Explaining this, Mr. Hau added that there is an agreement between a 100% state-owned enterprise and a worker to divide the harvested products according to the ratio and contracted plan.

On an area of 1 hectare of coffee, harvesting an average of 14 tons of fresh coffee per year, the company's part receives 4-5 tons, the remaining 9 tons are the products of workers who benefit.

Thus, this 1.7 ton of coffee (belonging to the agreed 4-5 ton) is actually an intangible asset divided among enterprises, not by employees.

The plan has been agreed upon and discussed

Like every year, when coffee prices were low, Ia Sao 1 Coffee Company converted 1.7 tons of coffee into cash to correspond to the social insurance contribution level.

This plan has been approved by the Corporation based on agreement, discussion and consensus with employees, on the basis of the Civil Law, Decree 168/2016/ND-CP of the Government...

Lanh dao cong ty 706 khang dinh, cach noi trich 1,7 tan ca phe de dong BHXH la chua dien giai het van de gay nen hieu nham nghiem trong. Anh: Thanh Tuan
The leader of Company 706 affirmed that the saying of deducting 1.7 tons of coffee to pay social insurance has not fully explained the problem, causing serious misunderstandings. Photo: Thanh Tuan

"If 1.7 tons of coffee are the company's assets, it will of course be accounted for in the company's revenue. Enterprises must be responsible for paying social insurance for employees.

Regardless of whether coffee prices are high or low, Ia Sao 1 Company must pay insurance or it will violate the law. Workers have also benefited from the sudden increase in prices from their distributed products, Mr. Hau affirmed.

Mr. Tran Minh Tuan - Director of Coffee Company 706 said that due to incorrect language and information orientation, there has been a great misunderstanding. The social insurance payment is mandatory for businesses, and employees are future beneficiaries.

Therefore, the saying "collecting coffee to pay insurance or extracting 1.7 tons of coffee to pay insurance" is an incorrect interpretation, causing misunderstanding in public opinion.

"It is possible to consider rewardsing a sum of money to employees to encourage them to feel secure in producing on land owned by state-owned enterprises," said Mr. Tuan.

Mr. Nguyen Tuong Khanh - Head of the Department of Legal Policy and Labor Relations (Gia Lai Provincial Labor Federation) requested the leaders of the two companies to promptly dialogue with workers to transparently inform the incident.

Enterprises need to be proactive, create consensus to avoid hot spots, affect security and order and production and business activities.

During the dialogue, the Provincial Trade Union will be present to listen, share and resolve problems between the company and workers. Thereby, both expanding public opinion and ensuring the harmony of interests between the two sides.

THANH TUẤN
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