New Social Insurance for Foreign Employees in Vietnam

Hanoi, October 23 (Engineering Daily) -- According to statistics by the Ministry of Labour, Invalids and Social Affairs (MoLISA), foreign employees in Vietnam have gradually increased from 63,557 to 83,046 between 2011 and 2016. It is expected the number continues to rise and the Vietnam government has mandated social insurance for the employees.

The social insurance for foreign employees in Vietnam is compulsory and it is confined to the contractors with a terms of one full year.

The social insurance covers sickness, maternity, workplace accident, occupational disease, retirement, and survivor benefits.

Also if there is a situation where the social insurance and other international agreements conflict, the international agreements should be applied.

The majority of foreign workers in Vietnam has come from Asian countries and China, the Republic of Korea, and Japan account fro 73 percent of the total. The European nations and American countries follow by 21.6 percent and 2.4 percent individually.