Reforms to ensure social insurance key pillar in social security system

At the seventh session of the 12th-tenure Party Central Committee

Party General Secretary Nguyen Phu Trong on May 23 signed off Resolution 28-NQ/TW on reforming social insurance policies, issued at the recent seventh session of the 12th-tenure Party Central Committee.

The resolution states that the social insurance system will be developed flexibly into a perse, multi-level and modern system that matches international practices. The State’s management capacity and efficiency will be improved while a lean, professional, modern, trustworthy and transparent system for social insurance policy implementation will be developed.

The resolution also sets up detailed objectives for each period.

It targets that by 2021, about 35 percent of the workforce will take part in social insurance, and about 28 percent will participate in unemployment insurance. About 45 percent of the persons beyond the retirement age will receive retirement pensions, monthly social insurance benefits and post-retirement benefits. The satisfaction with social insurance index will reach 80 percent.

By 2025, around 45 percent of the workforce will take part in social insurance, and some 35 percent will participate in unemployment insurance. About 55 percent of the persons beyond the retirement age will receive retirement pensions, monthly social insurance benefits and post-retirement benefits. The satisfaction with social insurance index is expected at 85 percent.

The resolution targets that by 2030, about 60 percent of the workforce will take part in social insurance, and about 45 percent will participate in unemployment insurance. About 60 percent of the persons beyond the retirement age will receive retirement pensions, monthly social insurance and post-retirement benefits. The satisfaction with social insurance index is hoped to reach 90 percent.

The resolution requests reforms be made synchronously to expand social insurance coverage towards social insurance for all and to ensure the long-term balance of the social insurance fund.

Those reforms include building a multi-level social insurance system, flexibly amending the regulations on the minimum social insurance participation duration eligible for retirement benefits, enhancing the connectivity of social insurance policies, and reforming the making and the implementation of policies to promote people’s trust in and satisfaction with the social insurance system.

To achieve the abovementioned objectives, the resolution also devises certain resolutions, including fine-tuning the legal system on labour, employment and social insurance; improving the State’s capacity and efficiency of social insurance management; promoting the capacity of administering and effectiveness of implementing social and unemployment insurance policies; and enhancing the Party’s leadership and the role of people, the Vietnam Fatherland Front and socio-political organisations in this work.