Hanoi (VNA)♌ - New regulations will remove and amend infeasible contents in order to continue support policies for workers and firms hard hit by COVID-19 pandemic.

Criteria for those eligible for the 62,000 billion VND aid package will be revised in the direction of expanding beneficiaries, time of support for unemployed workers and prolonging lending for salary payment till late this year. It is part of a report promulgating the Resolution on amendments and supplements to Resolution No.42/NQ-CP and the Decision on amendments and supplements to several articles of Decision No.15/2020QD-TTg submitted to the Government for approval by the Ministry of Labour, Invalids and Social Affairs (MoLISA).

Expanding beneficiaries, time of support

According to the report, the MoLISA suggested expanding support for workers with suspended labour contracts and unpaid leave at private and public educational establishments, including preschools; elementary, second and high schools. It also proposed expanding time of support: “Support period starts at a time when the labour contract is suspended and unpaid leave starts depending on the actual situation of the pandemic, starting from February 1, 2020 and no later than three months”. The current regulation took effect on April 1. Explaining the adjustment, Minister of Labour, Invalids and Social Affairs Dao Ngoc Dung said during the implementation, many said they have been off work before April 1, specifically from early February to April, May and June. According to the regulation, they are not entitled to support though in practice, they are the most deserving beneficiaries as their labour contracts have been suspended since February 1. According to Decision No.447/QD-TTg dated April 1, 2020 of the Prime Minister on the announcement of the COVID-19 in line with Clause 2, Article 1, the COVID-19 outbreak began on January 23 with the first infection case. Therefore, support time expansion suits realities and prevents disadvantages faced by workers who became unemployed from before April 1 to April, May and June. Support period remains no later than three months.

Lending support till late 2020

On criteria for lending for salary payment, the MoLISA suggested removing the criterion of paying at least half of work stoppage salary in accordance with Clause 3, Article 98 of the Labour Code. Support time for unemployed workers will be extended from April-June to April-December using loans from the Vietnam Bank for Social Policies (VBSP). However, support period remains no later than three months. Minister Dung said the new regulation removes the content “to pay the rest of the salary and disburse monthly for suspended workers” because such fails to create favourable conditions for firms to flexibly use funds to pay for workers to retain them. Conditions for financial difficulties are also specified: “Employers with first-quarter revenue down 20 percent or more from the fourth quarter or revenue of the preceding quarter before the time of consideration for entitlement decreases by 20 percent and above from the same period of 2019”. Such will enable firms to access loans provided by the VBSP. In the process of amending policies for unemployed workers, some opinions suggested offering assistance to workers with suspended labour contracts for more than 14 days. Minister said as the COVID-19 pandemic exerts comprehensive impact on the economy, firms from various sectors are affected. According to the minister, there remain difficulties in seeking beneficiaries because disputes and complaints will follow up. Resolution No.42/ND-CP rules that support must be provided for those with falling income, having jobs lost and failing to meet minimum living standards. Therefore, the MoLISA proposed maintaining support to those with unsuspended contracts for more than a month./.