The proposal is not in accordance with the social insurance policy
Voters in Binh Dinh province recommended: "According to current regulations, the social allowance and pension level has increased by 15%, but those who retire early still receive a pension level significantly lower than those who retire at the right age.
Voters recommend that the Ministry of Labor, War Invalids and Social Affairs (now the Ministry of Home Affairs) consider adjusting the pension level for those who retire early, in order to minimize the difference, ensure fairness in pension regimes and create motivation to encourage employees to participate in social insurance (SI) for a long time, contributing to improving their lives...".
In response to this proposal, the Ministry of Home Affairs said that the pension regime is one of the regimes of the social insurance policy to ensure a monthly income source for employees when they are old (until retirement age).
According to regulations, to receive a monthly pension, employees must meet two conditions: "age and time of social insurance payment". This is to ensure harmony and balance between the contribution period and the period of enjoyment of the social insurance regime, ensuring the balance and sustainability of the Social Insurance Fund.
Employees who retire early will receive a pension at a lower level than those who retire at the right age (the pension rate for early retirement years will be deducted), ensuring fairness between those who retire at the right age and those who retire early.
On the other hand, according to the provisions of the law on social insurance, pensions of retirees are adjusted based on the increase in the consumer price index and economic growth in accordance with the state budget and the Social Insurance Fund.
In Resolution No. 28-NQ/TW dated May 23, 2018 of the 7th Conference of the 12th Central Executive Committee on reforming social insurance policies, it was stated: "amending regulations to encourage employees to participate in social insurance for a longer time, gradually increasing the average retirement age, increasing the rate of pension deduction for employees who want to receive early retirement benefits".
Therefore, voters' recommendations are not in accordance with social insurance principles, legal regulations and the viewpoints and policies of the Party and State on social insurance policies, so there is no basis to report to competent authorities for consideration and resolution of pension adjustments for those who retire early.
Will study voters' recommendations
Voters in Binh Dinh province also proposed: "According to Article 14 of Decree No. 134/2015/ND-CP dated December 29, 2015 of the Government detailing a number of articles of the Law on Social Insurance on Voluntary Social Insurance, the current level of support for voluntary social insurance contributions from the state budget is 30% (poor household), 25% (near-poor household) and 10% for other subjects.
However, according to Decree No. 07/2021/ND-CP dated January 27, 2021 of the Government regulating multidimensional poverty standards for the period 2021 - 2025, the poverty standard for rural areas for the period 2021 - 2025 increased from 700,000 VND to 1.5 million VND, leading to a high voluntary social insurance contribution rate: Poor households 231,000 VND/month, near-poor households 247,500 VND/month and other subjects 297,000 VND/month.
Although the support rate remains unchanged, the higher contribution rate has made it difficult for poor and near-poor households to maintain voluntary social insurance participation, affecting their social security benefits and the sustainability of the social insurance system.
Voters recommend that the Government consider raising the level of support for voluntary social insurance contributions for poor households, near-poor households and other subjects, helping to reduce financial burdens, encourage participation in voluntary social insurance and ensure long-term social security, and at the same time reduce the burden of supporting the elderly in the future".
In response to this proposal, the Ministry of Home Affairs said that on June 29, 2024, the 7th Session of the 15th National Assembly passed Law on Social Insurance No. 41/2024/QH15, effective from July 1, 2025.
Accordingly, the State's policy for voluntary social insurance is: "Supporting voluntary social insurance participants" and "encouraging localities depending on socio-economic conditions, the ability to balance the budget, combined with mobilizing social resources to support additional social insurance contributions for voluntary social insurance participants".
Currently, the Ministry of Home Affairs is presiding over and coordinating with relevant ministries and branches to draft a Decree detailing and guiding the implementation of a number of articles of the Law on Social Insurance on voluntary social insurance. Therefore, voters' recommendations will be discussed and studied during the process of drafting the above Decree.
