Enterprises that suffer damage of over 50% of their total asset value due to storm No. 3 will be allowed to temporarily suspend contributions to the Death Pension Fund for no more than 12 months, according to a draft by the Ministry of Labor, War Invalids and Social Affairs.
In the draft support policy report at the end of October, the Ministry of Labor, War Invalids and Social Affairs requested the Vietnam Social Security and the People's Committees of provinces and cities affected by storm No. 3 to direct relevant authorities to guide businesses with damage of over 50% of total asset value (excluding land) to temporarily suspend contributions to the Death Pension Fund for no more than 12 months.
The policy is based on Decree 115/2015 which stipulates cases where employers are allowed to temporarily suspend compulsory social insurance payments due to natural disasters.
The Ministry of Labor, War Invalids and Social Affairs is also consulting with relevant parties to soon report to the Government on support policies for affected businesses and individuals.
Vietnam Social Security proposed to temporarily stop paying the Death Pension Fund for 3,300 tourism enterprises with 93,000 employees, concentrated in Quang Ninh, Hai Phong, Hanoi, Lao Cai, Yen Bai... Total amount of 740 billion VND.
The proposed suspension period is from October 2024 to March 2025, not exceeding 6 months from the date of application submission. The policy applies to enterprises paying social insurance until the end of August 2024, excluding units guaranteed by the state budget or self-sufficient. Specific damages will be determined by localities or ministries depending on the management level. The authority to issue support policies belongs to the Government.
Storm No. 3 made landfall in Quang Ninh on September 7, then caused floods and rains in the entire North, causing economic damage of VND81,500 billion. Quang Ninh province suffered the heaviest loss with VND24,800 billion; Hai Phong VND12,200 billion; Hai Duong VND7,400 billion; Lao Cai VND6,600 billion; Yen Bai VND5,730 billion; Bac Giang VND5,000 billion; Hung Yen VND3,600 billion... Agricultural damage alone was more than VND30,800 billion, accounting for 38% of total economic damage.
University (according to VnExpress)