1. Increase retirement age, change pension conditions
Based on the roadmap in Article 169 of the 2019 Labor Code, the retirement age for employees under normal working conditions in 2024 is 61 years old for male employees and 56 years and 4 months for female employees.
In 2024, male workers will be 61 years old and female workers' retirement age will be 56 years and 4 months old.
In 2023, the retirement age under normal conditions for male employees is 60 years and 9 months, for female employees is 56 years old.
The retirement age in 2024 increases compared to 2023. Therefore, employees' 2024 pension eligibility conditions also change.
Pursuant to the provisions of Article 54 of the 2014 Law on Social Insurance as amended by Point a, Clause 1, Article 219 of the 2019 Labor Code, employees participating in compulsory social insurance under normal working conditions are entitled to pension if they fall into the following cases: stipulate and meet one of the retirement age conditions.
Specifically, male employees are 61 years old and female employees' retirement age is 56 years and 4 months old.
2. Increase pensions and social insurance benefits
According to Resolution 104/2023/QH15 dated November 10, 2023 on state budget estimates for 2024, from July 1, 2024, comprehensive reform of salary policy will be implemented according to Resolution 27-NQ/TW. 2018 of the Seventh Conference of the 12th Central Executive Committee.
At the same time, adjust pensions, social insurance benefits, monthly benefits, preferential benefits for meritorious people and a number of social security policies that are tied to the base salary.
This means pensions, social insurance benefits, monthly benefits... will also be adjusted to increase from July 1, 2024.
3. Change the way to calculate minimum pension
Clause 5, Article 56 of the 2014 Law on Social Insurance stipulates that the lowest pension level when participating in compulsory social insurance is equal to the base salary.
Currently, the base salary is 1.8 million VND, so the lowest pension is 1.8 million VND/month.
From July 1, 2024, the base salary will be abolished and there will be written regulations or instructions on how to determine the lowest pension level at this time.
4. Adjust social insurance benefits and monthly benefits
The above mentioned social insurance benefits will also change. Pursuant to Resolution 104/2024, these subsidies will be increased from July 1, 2024.
According to the Social Insurance Law 2014, social insurance benefits are calculated based on the base salary.
For example, one-time allowance when giving birth, postpartum convalescence allowance, post-illness convalescence allowance, funeral allowance, and monthly survivor allowance.
When implementing salary reform, the salary coefficient and base salary no longer exist. Accordingly, the above mentioned social insurance benefits will also change. Pursuant to Resolution 104/2024, these subsidies will be increased from July 1, 2024.
Currently, the Government is proposing subsidies tied to the base salary equal to the current highest level and set in a specific amount.
Accordingly, Postpartum health and sickness allowance: 540,000 VND/day, one-time allowance when giving birth: 3.6 million VND/child...
5. Change the 2024 social insurance price inflation coefficient
The Ministry of Labor, War Invalids and Social Affairs will announce a social insurance inflation coefficient (adjustment level of salary and income paid for social insurance) for the following year at the end of the year.
Currently, the social insurance price inflation coefficient is implemented according to Circular No. 01/2023/TT-BLDTBXH applicable to subjects participating in compulsory and voluntary social insurance.
At this time, there is no information about the social insurance price inflation coefficient for 2024, but if this coefficient increases compared to 2023, it will lead to a one-time social insurance benefit, monthly pension, one-time pension upon retirement or death benefit. 1 time will also increase.
6. Change health insurance premiums
Many policies on social insurance and health insurance will change in 2024
Point e, Clause 1, Article 7 of Decree 146/2018/ND-CP stipulates the monthly household health insurance payment rates as follows:
- The first person pays 4.5% of the base salary;
- The second, third, and fourth person pay 70%, 60%, and 50% of the first person's payment respectively;
- From the fifth person onwards, the payment is equal to 40% of the first person's payment.
For students, the monthly health insurance premium is 4.5% of the base salary (state budget supports 30%, students pay 70% themselves).
From July 1, 2024, salary reform will be implemented and the base salary will be eliminated. Maybe from this point on, there will be new instructions on payment rates as well as health insurance benefits for households and students.
7. Changing one-time medical examination and treatment costs is covered 100%
Currently, the cost for a medical examination and treatment is lower than 15% of the base salary (lower than 270,000 VND), so health insurance participants are paid 100% of the cost.
From July 1, 2024, base salary is abolished, this cost will also have changes and specific instructions.
News-photo: H.Dao
According to Nguoi Lao Dong Newspaper