Ministry of Home Affairs responds to proposal to change pension calculation method

LƯƠNG HẠNH |

Regarding the proposal to change the pension calculation method, the Ministry of Home Affairs said that the settlement and adjustment of pensions is carried out according to the Law on Social Insurance.

The Ministry of Home Affairs received petitions from voters in Da Nang City sent after the First Session of the 16th National Assembly.

Voters proposed that the Ministry of Home Affairs advise the Government to direct the consideration and settlement of the payment of benefits for retired officials to ensure timeliness and create conditions to stabilize life after retirement.

At the same time, consider reviewing the method of calculating the regime, ensuring it is consistent with the working process, contribution level and actual conditions; avoid rigidly applying the percentage of salary, affecting the legitimate rights of beneficiaries.

Regarding the above recommendations, the Ministry of Home Affairs said that Article 93 of the Law on Social Insurance (BHXH) No. 41/2024/QH15 stipulates many forms of pension payment suitable for retirees.

Pensions are paid through the beneficiary's account; directly from the social insurance agency or service organization authorized by the social insurance agency. For people aged 80 and over, if they have the need, the social insurance agency or service organization authorized by the social insurance agency shall pay pensions at their place of residence in Vietnam.

Clause 5, Article 18 of the Law on Social Insurance No. 41/2024/QH15 also stipulates the responsibility of the social insurance agency in organizing the full, convenient and timely payment of pensions, social insurance allowances, and unemployment insurance.

In the past time, the social insurance agency has directed and implemented the payment of monthly pensions and social insurance allowances no later than the 5th of each month for beneficiaries through personal accounts.

For direct payment forms, the payment period is from February 2nd to October 10th during the office hours of the month of payment organization; payment at the end points before the 10th when the full number of beneficiaries according to the list transferred by the social insurance agency has been paid.

Over the past time, levels and sectors have always paid attention to perfecting policies and laws and organizing the implementation of social insurance policies to create more favorable conditions for employees and employers in participating in and enjoying social insurance.

The Ministry of Home Affairs also said that, according to Clause 1, Article 5 of the Law on Social Insurance No. 41/2024/QH15, the level of compulsory social insurance benefits and voluntary social insurance benefits is calculated based on the level of contribution and social insurance contribution period; there is sharing between social insurance participants according to the provisions of the Law.

Article 67 of the Law on Social Insurance No. 41/2024/QH15 stipulates that pensions are adjusted based on the increase in the consumer price index, in accordance with the capacity of the state budget and the social insurance fund.

Adjusting the appropriate pension increase for people with low pensions and retired before 1995 is to ensure narrowing the pension gap between retirees in different periods. The Government stipulates the time, subjects and level of pension adjustment according to the provisions of this Article.

Thus, the settlement of pension benefits and pension adjustments is carried out in accordance with the provisions of the Law on Social Insurance No. 41/2024/QH15.

LƯƠNG HẠNH
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