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Workers able to collect insurance lump sum from 2016

Workers under certain circumstances could opt to receive a social insurance lump sum, rather than waiting until retirement age to collect insurance payments in the form of monthly pensions, as stated in a resolution ratified by National Assembly deputies on June 22.
Workers under certain circumstances could opt to receive a socialinsurance lump sum, rather than waiting until retirement age to collectinsurance payments in the form of monthly pensions, as stated in aresolution ratified by National Assembly deputies on June 22.

The resolution, approved by 404 deputies, or 81.78 percent, followed aGovernment proposal on modifying Article 60 of the 2014 Law on SocialInsurance. Proposed modifications are expected to create a flexiblesocial insurance policy to meet the wishes of labourers.

Under the resolution, workers can continue to reserve their socialinsurance premium paying period to be eligible for retirement pensionsonce they surpass the working age, as prescribed in the 2014 law.

Workers entitled to a lump sum include those quitting their jobs afterpaying compulsory social insurance for one year and those who stoppedpaying voluntary insurance premiums after one year of doing so, buttheir total paying period is less than 20 years.

Theresolution also requests the Government popularise the Law on SocialInsurance, ensure workers can reserve their premium paying period orreceive a lump sum, publicise information on paying premiums andreceiving insurance benefits to both employees and employers, increaseinspections and strictly punish law violations.

The resolution will take effect on January 1, 2016.-VNA

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