The contribution rate to the occupational accident and disease insurance Fund is at least 0.3%
On May 27, 2020, the Government issues the Decree No. 58/2020/ND-CP on the rate of contribution to the occupational accident and disease insurance fund.
Accordingly, the normal contribution rate to the occupational accident and disease insurance Fund equal to 0.5% of the salary fund used as a basis for payment of social insurance premiums (applicable to the employees who are cadres, civil servants, public employees, and persons of the armed forces of Party and State agencies, etc.). The contribution rate equal to 0.3% of the salary fund used as a basis for payment of social insurance premiums shall be applicable to the enterprises that satisfy the conditions as prescribed.
Enterprises shall be entitled to apply the lower-than-normal rate in the following cases: Within 03 years up to the time of proposing, they shall not be fined for administrative violations, and shall not be examined for penal liability for violations against the laws on labor safety and hygiene, and social insurance; Making periodic reports on labor accidents, and occupational safety and hygiene in an accurate, fully, timely manner; The occupational accident frequency must be reduced by 15% or more compared to the average occupational accident frequency of 03 consecutive years preceding the proposal year.
The lower-than-normal rate shall be contributed within 36 months after the decision on application of such contribution rates takes effect. If employers still wish to apply the lower-than-normal rate of contribution to the occupational accident and disease insurance fund, they shall compile dossier and make a request as prescribed within 60 days before the expiry date of application of contribution rates.
This Decree takes effect on July 15, 2020.