The increase in the minimum wage, salary 2013 leads to the increase in other benefits

The increase in the minimum wage, salary 2013 leads to the increase in other benefits such as the benefits under the Law on Social Insurance, social insurance premiums for high salary laborer, health insurance rate, compensation for mental damages, Establishment of ownership rights to objects found.

Post date: 25-01-2014

5,748 view(s)

Minimum wage, salary of Vietnam by years

Minimum wage, salary of Vietnam by years

 Vietnamese Government has issued Decree No.66/2013/CP-CP to increase minimum wage, salary from 1,050,000 VND to 1,100,000 VND, effective from 1 July 2013. The increase in the minimum wage 2013 leads to the increase in other benefits such as the benefits under the Law on Social Insurance, social insurance premiums for high salary laborer, health insurance rate, compensation for mental damages, Establishment of ownership rights to objects found.

1. The increase in minimum wage, salary 2013 leads to the increase in social insurance premium ceiling.

Under the provisions of paragraph 3 of Article 94 of the Law on Social Insurance 71/2006/QH11, social insurance ceiling is 20 months minimum wage. From the effective date of the Social Insurance Law (1/1/2007) So far, there has been 5 times the minimum wage, salary increased, resulted in social insurance premium ceiling increased, respectively, as follows:

Seq

Time

Decree

Minimum wage/month

Social insurance premium ceiling

1

02/01/2005

203/2004/ND-CP

290.000 đ

5.800.000 đ

2

01/10/2005

118/205/ND-CP

350.000 đ

7.000.000 đ

3

01/01/2006

94/2006/ND-CP

450.000 đ

9.000.000 đ

4

01/01/2008

166/2007/NĐ-CP

540.000 đ

10.800.000 đ

5

01/05/2009

33/2009/NĐ-CP

650.000 đ

13.000.000 đ

6

10/05/2010

28/2010/NĐ-CP

730.000 đ

14.600.000 đ

7

01/05/2011

22/2011/NĐ-CP

830.000 đ

16.600.000 đ

8

01/05/2012

31/2012/NĐ-CP

1.050.000 đ

21.000.000 đ

9

01/07/2013

66/2013/ND-CP

1.150.000 đ

23.000.000 đ

 

2. The increase in minimum wage, salary 2013 leads to the increase in social insurance benefits.

 Most benefits from the Social Insurance Law 71/2006/QH11 the basic salary bases on the minimum wage, salary. If the new basic wage, salary is 1,150,000 VND / month as per Decree 66/2013/ND-CP, the benefits will be determined as follows:

No

Article of SI Law

Benefit type

Enjoying rate

Awarded amount

1

Article 34

Lump-sum allowance upon childbirth or child adoption per each child

2 month salary

2.300.000 đ

2

Point 2 Article  37

Leave for convalescence and health rehabilitation  after childbirth at home (maximum 15days)

25%/day (or 40%)

287.500 đ or 460.000 đ

3

Point 2 Article26

Convalescence and health rehabilitation after sickness at home (maximum 15 days)

25%/day (or 40%)

287.500 đ or 460.000 đ

4

Point 2 Article42

The lump-sum allowance from a 5% working capacity decrease

5 month salary

5.750.000 đ

5

Point 2 Article43

Monthly allowance from a 31% working capacity decrease

30%/month

345.000 đ

6

Article 46

Attendance allowance from a working capacity decrease of at least 81% due to rachioplegia, total blindness, paraplegia, amputation of two legs or a mental disease

100%/month

1.150.000 đ

7

Article 47

Lump-sum allowance for death due to labor accident or occupational disease

36 month salary

41.400.000 đ

8

Point 1 Article48

The daily benefit  from convalescence and health rehabilitation after treatment of injury or sickness (maximum 10days)

25%/day

287.500 đ

9

Point 2 Article63

Funeral allowance

10 month salary

11.500.000 đ

10

Point 1 Article65

Monthly survivorship allowance
- Conditions for enjoying (meet only one of following conditions):

  + Having paid social insurance 15 years

  + Being pensioners

 + Being accident allowance of a working capacity decrease of at least 61%

50%/month

575.000 đ

 

3. The increase in minimum wage, salary 2013 leads to the increase of health insurance awarded.

 Health Insurance Law No. 25/2008/QH12 do not regulate the health insurance rate in some specific cases. Instead, the Government guided the detailed provisions by the Decree 62/2009/ND-CP also based on the minimum wage:

No

Decree 62/2009/NĐ-CP

Type expense

Ratio for enjoying

Awarded amount

1

Point c, Clause 1, Article 7 (See Document No. 1800/BHXH-CSYT on 15/5/2012)

The totally free medical care costs

15%/time

172.500 đ

2

Point c, Clause 1, Article 7 (See Document No. 1800/BHXH-CSYT on 15/5/2012)

Maximum cost for medical services of high technology or  treatment with high expense

40 month salary

46.000.000 đ

 

4. The increase in minimum wage, salary 2013 leads to the increase in compensation for mental damages.

 Some mental loss may be determined by Court Judge also base on the minimum wage to in respect with the maximum amount of compensation in the event the parties can not reach an agreement. If the new minimum wage, salariy is 1,150,000 VND/month of Decree 66/2013/ND-CP and regulations on compensation for non-contractual civil transactions in Resolution No. 03/2006/NQ-HDTP, the compensation on for the mental loss from the time of 1/7/2013 will increase as follows:

No

Resolution 03/2006/NQ-HĐTP

Compensation type

Maximum limit

Compensation amount

1

Point c, Clause 1.5 of Section II

Compensation for the loss of mental health infringed

30 month salary

34.500.000 đ

2

Point d, Clause 2.4 of Section II

Mental damage compensation due to compromised life (i.e. causes the death of another person)

60 month salary

69.000.000 đ

3

Point c, Clause 3.3 of Section II

Compensation for mental damages violated the honor and dignity

10 month salary

11.500.000 đ

 

5. The increase in minimum wage, salary 2013 leads to the increase amount of establishment of ownership rights to buried or sunken objects which are found (Article 240, Civil Codes)

 Ownership rights to a discovered, buried or sunken object without an owner or with its owner being unidentifiable, after deducting expenses for search and preservation, shall be determined as follows:

  a. The found object, which is a historical or cultural relic, shall belong to the State; the person who found such object shall be entitled to a monetary reward as provided for by law.

 b. The found object, which is not a historical or cultural relic but has the value of up to ten months’ minimum salary set by the State, shall come under ownership of the discoverer; if the found object is valued higher than ten months’ minimum salary set by the State, the discoverer shall be entitled to a value equal to ten months’ minimum salary set by the State and 50% of the value of the portion in excess of ten months’ minimum salary set by the State, and the remainder shall belong to the State.

6. The increase in minimum wage, salary 2013 leads to the increase in amount of establishment of ownership rights to objects which have been let drop on the ground or left over out of inadvertence by other persons (Article 241 Civil Codes 2005)

 a. A person who finds an object which another person has let drop on the ground or left over out of inadvertence and knows the latter’s address must notify or return the object to such person; if he/she does not know the address of the latter, he/she must notify or submit such object to the People’s Committee of the commune, ward or township or the nearest police Station in order to make a public announcement for the owner to be aware thereof and reclaim it.

 The local People’s Committee or the police station, which has received the object, must notify the person who has submitted it of the results of identification of the owner.

 b. If after one year from the date of public announcement of the found object, it is not possible to identify the owner or the owner does not come to reclaim the object, such object shall belong to the finder, if the object has the value of up to ten months’ minimum salary set by the State; if the object’s value is greater than ten months’ minimum salary set by the State, after deducting the expenses for preservation, the finder shall be entitled to a value equal to ten months’ minimum salary set by the State and 50% of the value of the portion in excess of ten months’ minimum salary set by the State, and the remaining value shall belong to the State.

 c. If the object which has been let drop on the ground or left over out of inadvertence is a historical or cultural relic and its owner is unidentifiable or no one comes to reclaim the object, the object shall belong to the State; the finder of the object shall be entitled to a monetary reward as provided for by law.

7. The increase in minimum wage, salary 2013 leads to the increase in the shift meal amount.

 Although there are no regulations regarding the required amount will be increased by shift meal limits upon minimum wage, however, such amount has increased from time to time corresponding to the minimum wage increased as follows:

No

Time

Circular of Labor Ministry

Shift meals/ month

1

Prior 01/05/2009

22/2008/TT-BLĐTBXH

450.000 đ

2

From 01/05/2009 – 30/04/2011

10/2009/TT-BLĐTBXH

550.000 đ

3

From 01/05/2011 – 30/04/2012

12/2011/TT-BLĐTBXH

620.000 đ

4

From 01/05/2012

10/2012/TT-BLĐTBXH

680.000 đ

  According to Documents No.1942/TCT-CS dated 8/6/2011 of General Department of Tax, the shift meals norm is applied to calculate the reasonable cost and free from taxable income of the employee. The excess above has not been accounted for in reasonable cost, and also included in taxable income.

Lawyervn.net

comment(s) (0)

Send your comment

Captcha reload