Policies on employment and wages effective from March

1/ Increase in adjustment levels of social insurance premium in 2014
In 2014, the adjustment levels have changed in comparison to those in 2013:

- The adjustment levels in the years from 1995 to 2012 have increased by from 0.07 to 0.25. The adjustment levels in 2013 and 2014 are unchanged.
- The adjustment levels of monthly incomes in the years from 2008 to 2012 have increased by from 0.07 to 0.1.

The above are mentioned in Circular No. 02/2014/TT-BLĐTBXH which takes effect on March 01, 2014.

2/ Instructions on licensing outsourcing

On January 08, 2014, the Ministry of Labor, War Invalids and Social Affairs issued the Circular No. 01/2014/TT-BLĐTBXH on issuance, reissuance, extension, and revocation of licenses for outsourcing, and reporting outsourcing.

According to the Circular, if the outsourcing company wishes to sustain the operation after the license has been extended twice, the procedure for a new issuance shall be followed.

The company must send the application for extension or new issuance of the license 90 days before the expiration date of the license.

The application for reissuance of a license that is lost or burned must be sent together with a certification issued by the People’s Committee of the commune of the burned or lost license.

The application for reissuance of a damaged license must be sent to the Service of Labor, War Invalids and Social Affairs together with a copy of the damaged license. The damaged license must be returned to the Ministry of Labor, War Invalids and Social Affairs.

Circular No. 01/2014/TT-BLĐTBXH which provides guidance on the implementation of the Decree No. 55/2013/NĐ-CP takes effect on March 01, 2014.

3/ Issuance of national occupational standards applied to tourism professions

On March 05, 2014, the Circular No. 01/2014/TT-BVHTTDL on the issuance of national occupational standards applied to tourism professions comes into force.

According to the Circular, national occupational standards applied to tourism professions include:

- Restaurant services;
- Food processing techniques;
- Hotel management;
- Resort management;
- Entertainment and sports service management;
- Tour guiding;
- Travel management;
- MICE tourism management.

4/ Instructions on licensing employment of foreign workers

On March 10, 2014, Circular No. 03/2014/TT-BLĐTBXH comes into force, which provides instructions on the implementation of 102/2013/NĐ-CP in terms of the positions may be held by foreign workers and issuance of work permits to foreigners. According to the Circular:

- The report on demand for foreign workers must be submitted to the Service of Labor, War Invalids and Social Affairs at least 30 days before the employment (Contractors must submit such reports to Presidents of the People’s Committees of provinces at least one month before employment);
- When employing a foreign worker that is exempt from licensing, the employer must send a written request for certification (form No. 10 enclosed with the Circular) to the Service of Labor, War Invalids and Social Affairs;
- This Circular also provides instructions on the applications for issuance, reissuance of work permits, and the forms in its appendices.

This Circular supersedes the Circular No.  31/2011/TT-BLĐTBXH.

5/ Instructions on employment in the Labor Code

On March 15, 2014, the Government's Decree No. 03/2014/NĐ-CP providing instructions on some Articles of the Labor Code comes into force. Some notable points:

- The national employment fund is established from: government budget, aid from Vietnamese and foreign entities, and other lawful sources.
This fund shall only be used for giving concessional loans to assist in employment creation, support the companies suffering from difficulties due to economic decline to avoid redundancy, support employment agencies and employment market information system.
- Recruitment cost included in production cost includes the costs of announcement, application receipt and management, examination, and result notification. 

This Decree also provides detailed instructions on employment creation, local employment programs, worker recruitment and management, etc.

This Decree supersedes the Decree No. 39/2003/NĐ-CP.

6/ Additional payment of social insurance to receive pension

From March 26, 2014, the persons in the police forces that switch over from earning allowances during the period from January 01, 1995 to December 31, 2006 to earning wages may pay additional social insurance premium to qualify for pension and death benefits.

These payers include:

- The non-commissioned officers and soldiers that serve for a certain period of time in the police forces;
- The students that earn allowances when learning at police academies or other academies.

The additional payment per year = the number of payers x minimum wage x rate x number of months.

The rate is 14% of the minimum wage per payer per month.

These payers are qualified for the benefits as long as they keep paying social insurance premium, or have the social insurance period conserved after they stop working.

The benefits are not provided for the persons that receive a lump sum of benefits or monthly benefits.

The regulations above are introduced in the Decision No. 13/2014/QĐ-TTg