Accounting news The Government has just issued Decree 58/2020/ND-CP regulating the level of compulsory social insurance contributions to the Labor Accident and Occupational Disease Insurance Fund (Occupational Accident and Occupational Disease Insurance Fund).
Accordingly, employers make monthly contributions to the salary fund to pay social insurance for employees specified in Points a, b, c, d, dd and h, Clause 1, Article 2 and Clause 2, Article 2 of the Law on Social Insurance. union, except in cases where the employee is a domestic worker, according to one of the following levels:
– The normal contribution rate is equal to 0.5% of the salary fund as the basis for social insurance payment; At the same time, it is applied to workers who are officers, civil servants, public employees and people in the armed forces of agencies of the Party, State, socio-political organizations, army, police, public service units using state budget;
– The contribution rate is equal to 0.3% of the salary fund as a basis for social insurance payment, applicable to businesses that ensure the conditions as prescribed in Article 5 of Decree 58/2020/ND-CP.
Specifically, businesses operating in industries with a high risk of labor accidents and occupational diseases can apply a contribution rate of 0.3% of the salary fund as a basis for social insurance payment if the following conditions are met: :
– Within 03 years up to the time of proposal, there have been no administrative sanctions in the form of fines, no criminal prosecution for violations of laws on occupational safety, hygiene and social insurance. ;
– Carry out periodic reports on occupational accidents and reports on occupational safety and hygiene accurately, completely and on time for 03 years immediately preceding the proposed year;
– The frequency of occupational accidents in the year immediately preceding the proposed year must be reduced by 15% or more compared to the average frequency of occupational accidents in the 03 years immediately preceding the proposed year or no occupational accidents will occur. calculated from 03 years immediately preceding the year of proposal.
Decree 58/2020/ND-CP officially takes effect from July 15, 2020 and replaces Decree 44/2017/ND-CP; Abolish point b, clause 1, Article 13 of Decree 143/2018/ND-CP.