Proposal to increase pensions and social insurance benefits by 15%, the highest ever

Elderly people do procedures related to pension at Social Insurance of Hai Ba Trung district, Hanoi - Photo: HA QUAN

According to Vietnam Social Security, the Government proposed to increase pensions and social insurance benefits from July 1 to show concern and ensure the lives of retirees.

Pension and social insurance benefits increase to highest level ever

Specifically, the Government proposed a 15% increase in pensions and social insurance benefits based on the June 2024 benefit level.

Those who receive pensions, disability benefits and monthly benefits before January 1, 1995, after the 15% increase, but the benefit level is still lower than VND 3.2 million/month, will be increased by VND 300,000/person/month. Similarly, those whose benefit level is from VND 3.2 million/month to less than VND 3.5 million/month will be increased to VND 3.5 million/month.

If the proposal to increase pensions and social insurance benefits by 15% is passed, it would be the highest increase ever.

The scope of application is up to more than 3.3 million people including those who have participated in compulsory and voluntary social insurance.

This increase rate is calculated by management agencies to ensure fairness, reasonableness, harmony, sharing between pensioners and social insurance payers, between regions and generations as well as balancing the social insurance fund in the long term.

The adjustment also demonstrates the Government's determination to implement Resolution 28 of the Central Committee on reforming social insurance policies, including ensuring salary, income, and social assistance for all citizens.

By 2025, about 55% of the population will receive monthly pensions, social insurance or social retirement benefits. By 2030, this figure will be 60%.

Postal officials coordinate with social insurance to pay pensions at a payment point in Hanoi - Photo: HA QUAN

Increase pensions, narrow the gap with working people

To achieve the above goals, according to Vietnam Social Security, in addition to contributions to the social insurance fund of generations of workers, support resources from the State are needed.

Therefore, according to Vietnam Social Security, the Government proposes to allow the expansion of the scope of using accumulated salary reform resources to pay for increased pensions, social insurance benefits, preferential benefits for meritorious people, social benefits, etc.

For effective implementation, the Social Insurance will coordinate with relevant sectors to focus resources, develop plans, and apply information technology to ensure timely payment of policies to people. Sectors will strengthen inspection and supervision of the payment process as well as coordinate to handle arising situations, feedback, and problems...

From 1995 to the end of 2023, the National Assembly and the Government adjusted pensions 23 times. Accordingly, pensions increased from 21-26 times compared to pensions in 1995.

Pensions do not remain the same but are periodically increased according to the consumer price index and economic growth in accordance with the state budget and social insurance fund.

In addition to the monthly pension, beneficiaries are also given a free health insurance card, with benefits from the health insurance fund up to 95%.

Regarding the above proposal, Mr. Nguyen Van An, 76 years old, Hanoi, retired for nearly 20 years, shared that the State has increased salaries many times, showing concern for cadres, civil servants, public employees, and workers who have contributed to the development of the country.

He said that the 15% pension increase is reasonable, ensuring consensus and fairness between the group retiring before and after the salary increase.

Mr. Tran Trung Thai, Bac Giang, retired for about 13 years, was concerned about how to have fairness between retirees before and after July 1. Therefore, he agreed with increasing pensions to ensure life.

"I pay social insurance to ensure long-term security and have benefits when I retire," he said.

Source: https://tuoitre.vn/de-xuat-tang-luong-huu-tro-cap-bao-hiem-xa-hoi-15-cao-nhat-tu-truoc-den-nay-20240623231125655.htm