Regarding the case of more than 4,000 individual business owners having their social insurance collected illegally, leading to not receiving pensions, at a press conference on the afternoon of June 5, General Director of Vietnam Social Security Nguyen The Manh said that this agency has instructed localities to do what the law allows. However, even though there are no regulations, local social security agencies still do it.
More than 4,000 individual business households have their social insurance collected illegally.
"Vietnam Social Security has signed a document criticizing social security directors for collecting incorrect taxes from individual business households since 2003. The criticism was a "last resort" because they did not fully understand and collected according to the wishes of the household owners," said Mr. Manh.
Regarding the solution, the General Director of Vietnam Social Security said that in the immediate future, this agency has proposed to the National Assembly to allow the settlement of benefits for business owners who have paid compulsory social insurance; allowing them to enjoy the same benefits as other people who have paid compulsory social insurance.
In the long term, Vietnam Social Security will coordinate with ministries and branches to agree to include in the draft amendment to the Social Insurance Law, regulations on expanding the scope of compulsory social insurance participation for individual business owners. The rights of employees participating in social insurance, including business owners, will be best guaranteed according to the contribution-benefit principle.
"It would be great if more than 4,200 people had more social security benefits."
Explaining why many localities collect compulsory social insurance from individual business owners, Mr. Do Ngoc Tho, Head of the Social Insurance Implementation Policy Department (Vietnam Social Insurance), said that business owners are still employees.
At that time, there was no provision in the Social Insurance Law that said they were not entitled to insurance. Moreover, individual business owners also had a legitimate desire to participate in the social security network.
"If we look back more than 20 years ago, there were many different understandings of the case of individual business owners," said Mr. Tho.
Business owners are also employees, working like hired workers. They have paid social insurance, so it is necessary to protect their legitimate rights on the principle of contribution and benefit.
In the case of more than 4,000 individual business owners who are required to pay compulsory social insurance, Vietnam Social Security proposes to resolve the benefits of this group of subjects by recording the process of having paid compulsory social insurance. "If a resolution of the Government can help more than 4,200 people have more social security benefits, it is very good, but the extent of responsibility still needs to be considered and handled," Mr. Tho expressed.
Evidence from the precedent, when collecting social insurance from deputy commune militia, deputy commune police, and people working on labor contracts in communes and wards. At that time, the Government issued Resolution 101 allowing the recording of that payment period as compulsory social insurance payment.
At that time, there were over 10,000 people in this category, so now there are about 4,000 more individual business owners who also need a Government resolution to handle the situation in a way that ensures social security for individual business owners.
Previously, in a report sent to the National Assembly on a number of issues related to the group of questions raised at the 5th session, Minister of Labor, Invalids and Social Affairs Dao Ngoc Dung officially explained the issue of illegal social insurance collection from business owners at many local social insurance agencies.
Minister Dao Ngoc Dung affirmed that the collection of compulsory social insurance for business household owners is not in accordance with the law. However, from January 2003 to December 2021, social insurance agencies in many localities have collected compulsory social insurance for these cases. As of September 2016, 4,240 individual business household owners in 54 localities had paid compulsory social insurance.
Because the implementation of compulsory social insurance is not in accordance with the law, individual business owners have not been able to count the time they have paid social insurance to receive social insurance benefits, especially in many cases where they have paid social insurance for nearly 20 years. This has made people angry, some cases have filed complaints, even sued the social insurance in court.
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