Maximise convenience for enterprises to participate in social insurance

VCN - According to Dao Viet Anh (pictured), Deputy General Director of Vietnam Social Insurance, the measurement and evaluation of the component of social insurance payment in the index "tax and social insurance payment" has great significance in helping investors consider the level of administrative procedure reform of Vietnam, creating favourable conditions for employers to pay social insurance to employees and helping the social insurance agency consider independent evaluation results of reform activities for administrative procedures affecting enterprises.
maximise convenience for enterprises to participate in social insurance Many businesses owe billions in social insurance
maximise convenience for enterprises to participate in social insurance Minister highlights Vietnam’s commitment to gender equality at UN forum
maximise convenience for enterprises to participate in social insurance Social Insurance actively reforms administrative procedures, facilitating business
maximise convenience for enterprises to participate in social insurance

Can you talk about the significance of raising the ranking of Tax and Social Insurance Payment Index (A2 index) for improving the business environment and improving national competitiveness?

The A2 index is one of 11 indicators investigated and surveyed by the World Bank (WB) to assess the favourable level of business activities of a country and to assess the level of reform in each field. The indicators are evaluated on the following criteria: number of procedures, time, cost and quality measurement indicators of regulations.

The measurement of the time to pay taxes and pay social insurance is ranked on four factors including number of payments (accounting for 25 percent), time (number of hours of tax and social insurance paymentin the year, accounting for 25 percent),total tax interest and payable ( percentage profit accounts for 25 percent) and post-tax payment index (accounting for 25 percent) with evaluation criteria including the number of procedures, time, cost and indicators of regulation quality.

On the basis of the survey results, the World Bank conducts assessment and classification of the components of social insurance payment (enterprises implement the registration of social insurance, health insurance, unemployment insurance and payment) by the annual report on the economic environment for 11 economic sectors of 190 countries around the world.

The measurement and evaluation of the "payment of social insurance" components in the " tax and social insurancepayment" index have great significance in helping investors consider the extent of Vietnam's reform of administrative procedures in helping employers to pay social insurance to their employees in accordance with the law, and helping the social insurance agency perform review assessment independently results on reform activities for administrative procedures affecting enterprises.

How have efforts of the social insurance sector in implementing administrative reforms contributed to facilitating organisations and individuals, especially in implementing registration and payment of social insurance, health insurance and unemployment insurance?

For many years, Vietnam Social Insurance has always identified administrative reforms, especially administrative procedure reformis one of the important tasks of the whole industry, which is carried out regularly and drastically to reduce time and costs for enterprises and people. In 2018, Vietnam Social Insurance continued to hold the leading position in information technology application among Government agencies. According to the World Bank's report on the business environment in 2019,the ranking of Vietnam's Tax and Social Insurance Payment index increased 36 grades compared to the business environment of 2017 (from 167/190 to 131/190).

In particular, the implementation of electronic transactions in collecting and granting social insurance books and health insurance cards has brought many benefits to enterprises. As a result, the number of electronic transactions made by enterprises with social insurance agencies has decreased from 12 times per year ago to one time per year. Along with that is the diversification of forms of receiving and returning results (directly receiving, receiving and returning dossiers through post, electronic transactions), so far, enterprises do not have to queue, andwait to fill in the procedure and receive the results at the social insurance agency like before. In addition, a series of other utilities such as bringing the professional software system into use consistently from the central to local levels; deploying many online public services in the field of regime payment; many professional and management software have been modified, upgraded, facilitating enterprises and participants to enjoy social insurance and health insurance policies.

Along with reviewing and cutting administrative procedures, Vietnam Social Insurance also checked, reviewed and systemised the documents of the industry, thereby having a comprehensive assessment to revise relevant regulations of administrative procedures, professional processes towards creating favourable conditions, reducing procedures for enterprises and people.

In the last five years, the number of administrative procedures in the social insurance sector has been reduced drastically from 115 to 28 procedures (reducing over 75 percent). The time limit for issuing social insurance books from 20 days and health insurance cards from seven days will be shortened to five days (particularly for unemployment beneficiaries not more than two days from the date of receipt of complete dossiers as prescribed), re-issue health insurance cards which does not change the information will be made in the day. All these reforms aim at a consistent goal of serving organisations and individuals better and better participating in social insurance, health insurance and unemployment insurance.

In Resolution No. 02/NQ-CP dated January 1, 2019 on continuing to perform the main tasks and solutions to improve the business environment and improve national competitiveness in 2019 and orientations to 2021, the Government aims to raise the ranking of taxes and social insurance Payment Index by 30-40 grades by 2021, from 7-10 grades by 2019. To achieve this goal, what should we implement in terms of tasks and solutions?

To increase the ranking of social insurance payment components in the Tax - Social Insurance payment index, we must continue to reduce the time for enterprises to implement social insurance-related procedures (currently rated as 147 hours). Therefore, it is necessary to continue to simplify, reduce procedures, records and forms in the regulations on payment of social insurance to support enterprises in preparing, declaring and paying social insurance, research and apply information technology in connecting and sharing common data sources of enterprises with relevant ministries and branches.

Vietnam Social Insurance has developed guidelines for its subordinate units and provincial social insurance agencies to have a correct and unified understanding of the components of "Social Insurance Payment" in the A2 index, and requested units implement urgently tasks and solutions under their functions, tasks and powers to reduce the time to pay social insurance for employers in general and enterprises in particular; promptly and proactively reflect difficulties and problems, propose new solutions to reduce the time of implementing "social insurance payment", contributing to raising the A2 index of social insurance.

First, we must complete the social insurance declaration software to make it easier for enterprises to declare, output and transfer data to the social insurance agency.

Second, hold training and retraining, support employers in implementing the procedures for social insurance declaration and payment.

Third, continue reviewing administrative procedures related to paying social insurance for employees in order to maximise the simplification of procedures and dossiers for payment of social insurance, creating more favourable conditions for enterprises. Clearly regulate the types of documents and records to be kept at the enterprises to serve the examination and inspection of the Social Insurance industry for social insurance paymentfor employees which enterprises and units employ labour most done.

Fourth, update promptly, propagate regularly and extensively about the reduction of regulations on social insurance documents to employers in the locality.

maximise convenience for enterprises to participate in social insurance Reforms to ensure social insurance key pillar in social security system

Reforming social insurance policies is aimed at ensuring social insurance is truly a key pillar in the ...

Fifth, innovate working methods, and practice, raise awareness of responsibility, serving spirit for people. Actively promote activities to support enterprises, effectively deploy SMS services to employers to improve quality, reduce time and costs. Thoroughly handle the feedback and proposals of people and enterprises on mechanisms, policies and administrative procedures.

By Xuan Thao / Binh Minh

Related News

State-owned commercial banking sector performs optimistic growth, but more capital in need

State-owned commercial banking sector performs optimistic growth, but more capital in need

VCN - According to the report sent to the National Assembly before the 8th Session of the Government on investment, management and use of state capital in enterprises nationwide in 2023, the business performance of the state-owned commercial banking sector achieved positive growth.
Ensure harmony of interests of “3 parties” when applying 5% VAT on fertilizers

Ensure harmony of interests of “3 parties” when applying 5% VAT on fertilizers

VCN - In the short term, applying 5% VAT on fertilizers may increase selling prices, but in the long term, farmers will benefit from this policy. When the fertilizer manufacture is deducted input tax, it will help reduce investment cost and production cost.
Ba Ria-Vung Tau Customs cultivates a stronger relationship with enterprises

Ba Ria-Vung Tau Customs cultivates a stronger relationship with enterprises

VCN - Ba Ria - Vung Tau Customs Department held a conference to review the development of Customs - Business partnership.
Tax sector determines to take enterprises as the center of service

Tax sector determines to take enterprises as the center of service

VCN - That was the affirmation of Deputy General Director of the General Department of Taxation Mai Son at the Tax - Customs forum in 2024 organized by Vietnam Financial Times on the afternoon of October 16, 2024.

Latest News

State President welcomes top legislator of Cuba

State President welcomes top legislator of Cuba

State President Luong Cuong met with Politburo member, President of the National Assembly of People’s Power, and President of the Council of State of Cuba Esteban Lazo Hernandez in Hanoi on November 2.
Remove "bottlenecks" for economic breakthrough

Remove "bottlenecks" for economic breakthrough

VCN - In recent articles and speeches, General Secretary and President To Lam has repeatedly mentioned that the country is facing a new era of national growth. General Secretary and President To Lam also requested that the “bottlenecks” of the economy must be quickly removed, creating innovation and breakthroughs to complete the set tasks.
Int’l organisations, experts remain optimistic about Vietnam's economic outlook

Int’l organisations, experts remain optimistic about Vietnam's economic outlook

International organisations and experts have made positive comments on the Vietnamese economy, affirming their optimism about Vietnam's economic outlook.
Party chief clarifies major issues on new era of nation

Party chief clarifies major issues on new era of nation

Prof. Dr. To Lam, General Secretary of the Communist Party of Vietnam (CPV)’s Central Committee on October 31 had a discussion with participants of a training course for officials planned for the 14th Party Central Committee, focusing on a number of issues on a new era – the era of the nation’s rise.

More News

Vietnam, others call on US to immediately end embargo against Cuba

Vietnam, others call on US to immediately end embargo against Cuba

Vietnam calls on the US to immediately end its embargo against and remove Cuba from the list of state sponsors of terrorism, moving towards normalising relations between the two countries based on equality, mutual respect, and respect for each other's national sovereignty and political independence, stated Ambassador Dang Hoang Giang, Permanent Representative of Vietnam to the UN.
Vietnam

Vietnam's economy is recovering well

VCN - According to Dr. Nguyen Quoc Viet, Deputy Director of the Vietnam Institute for Economic and Policy Research (VEPR), by the end of the third quarter of this year, Vietnam's economy had recovered relatively well amid optimism about the overall growth of the world economy in late 2024 and 2025.
“Carbon footprint” reduction needed for sustainable tourism development: insiders

“Carbon footprint” reduction needed for sustainable tourism development: insiders

Vietnam's tourism industry is making efforts to reduce its “carbon footprint” in pursuit of sustainability, focusing on developing “green tours”, upgrading transport infrastructure, and developing renewable energy-used vehicles, said insiders.
Concerted efforts underway to prevent IUU fishing

Concerted efforts underway to prevent IUU fishing

Vietnam is making thorough preparations to welcome the European Commission (EC)'s inspection delegation with the hope of having its “yellow card” on illegal, unreported and unregulated (IUU) fishing against the fisheries sector removed, thus boosting seafood exports to the EU market.
Vietnam needs to diversify supply chains for sustainable growth: economists

Vietnam needs to diversify supply chains for sustainable growth: economists

The diversification of global supply chains is creating significant opportunities for Vietnam to engage more deeply in international production networks. However, along with market expansion prospects, there are challenges posed by trade tensions, the reality of climate change accompanied by natural disasters, and the requirements for carbon emissions reduction, according to experts.
PM arrives in Abu Dhabi, beginning official visit to UAE

PM arrives in Abu Dhabi, beginning official visit to UAE

Prime Minister Pham Minh Chinh, his spouse and a high-ranking delegation of Vietnam arrived at Zayed International Airport in Abu Dhabi at 11 am on October 27 (local time), starting their official visit to the United Arab Emirates (UAE) at the invitation of President Mohamed bin Zayed Al Nahyan.
Big rebound forecast for southern industrial property market in 2025

Big rebound forecast for southern industrial property market in 2025

Despite a challenging 2024 marked by global economic uncertainties and regulatory changes, the industrial property market in the south is poised for a robust recovery in 2025, according to property consultancy Knight Frank.
Vietnams tourism likely to boom under "Six Countries, One Destination" visa initiative

Vietnams tourism likely to boom under "Six Countries, One Destination" visa initiative

A shared visa zone for the Southeast Asia region, similar to Europe’s Schengen visa mechanism, could be a game-changer Vietnam’s tourism sector needs. The proposed “Six Countries, One Destination” initiative aims to facilitate seamless travel across six neighboring countries, thus boosting regional tourism.
Vietnamese Prime Minister to visit UAE, Qatar, Saudi Arabia

Vietnamese Prime Minister to visit UAE, Qatar, Saudi Arabia

Prime Minister Pham Minh Chinh, his spouse, and a high-ranking delegation of Vietnam will pay official visits to the United Arab Emirates (UAE) and Qatar, attend the 8th Edition of the Future Investment Initiative (FII) and make a working trip to Saudi Arabia, from October 27 to November 2.
Read More

Your care

Latest Most read
State President welcomes top legislator of Cuba

State President welcomes top legislator of Cuba

State President Luong Cuong met with Politburo member, President of the National Assembly of People’s Power, and President of the Council of State of Cuba Esteban Lazo Hernandez in Hanoi on November 2.
Remove "bottlenecks" for economic breakthrough

Remove "bottlenecks" for economic breakthrough

General Secretary and President To Lam requested that the “bottlenecks” of the economy must be quickly removed, creating innovation and breakthroughs to complete the set tasks.
Int’l organisations, experts remain optimistic about Vietnam's economic outlook

Int’l organisations, experts remain optimistic about Vietnam's economic outlook

International organisations and experts have made positive comments on the Vietnamese economy, affirming their optimism about Vietnam's economic outlook.
Party chief clarifies major issues on new era of nation

Party chief clarifies major issues on new era of nation

Prof. Dr. To Lam, General Secretary of the Communist Party of Vietnam (CPV)’s Central Committee on October 31 had a discussion with participants of a training course for officials planned for the 14th Party Central Committee, focusing on a number of issues on a new era – the era of the nation’s rise.
Vietnam, others call on US to immediately end embargo against Cuba

Vietnam, others call on US to immediately end embargo against Cuba

Vietnam calls on the US to immediately end its embargo against and remove Cuba from the list of state sponsors of terrorism, moving towards normalising relations between the two countries based on equality, mutual respect, and respect for each other's national sovereignty and political independence, stated Ambassador Dang Hoang Giang, Permanent Representative of Vietnam to the UN.
Mobile Version