The Vietnamese government has enacted Decision No. 08/2022/DQ-TTg on “Implementing rent support policies for employees” to support members of the workforce that are living in rented properties. This is a part of the fiscal and monetary policy that was introduced on Jan 2022.
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Who can benefit from this supportive incentive of the Government?
According to Decision 08, there will be two categories of workers who are eligible for the support. These categories are:
- Workers who are currently employed in firms
- Workers who are returning to the labor market
The table below shows the requirements for each category of employees that can get this financial help:
| EMPLOYEE CURRENTLY WORKING AT A COMPANY | EMPLOYEES RETURNING TO THE LABOR MARKET | |
| Rental term | 01/02/2022 – 30/06/2022 The rental house must be in the provinces mentioned in the decision 08/2022/TQ-TTg (HCMC is included) | 01/04/2022 – 30/06/2022 The rental house must be in the provinces mentioned in the decision 08/2022/TQ-TTg (HCMC is included) |
| Labor contract | The employee is under labor contract (definite/ indefinite) with a duration of at least 1 month which was concluded and executed before April 01, 2022. | The employee is under a labor contract (definite/ indefinite) with a duration of at least 1 month which was concluded and executed from April 1, 2022 to June 30, 2022, except renewed employment contracts. |
| Participate insurance (tick “y” in column I of Monthly payroll Sheet) | The employee has participated in the compulsory social insurance in the month preceding the month in which the company makes the list of employees applying for rent support. | The employee has participated in the compulsory social insurance in the month preceding the month in which the company makes the list of employees applying for rent support. |
| Support Allowance | 500.000 VND/person/month. | 1.000.000 VND/person/month. |
| Support duration | Up to 3 months;Support will be provided monthly | Up to 3 months;Support will be provided monthly |
They will get a total of VND 500,000 (USD 21.7) and VND 1 million (USD 43.4) per individual each and every month, respectively, for a period of no longer than three months.
The deadline for submitting paperwork or documents to receive the rental allowance
The deadline from the Government is August 15th 2022, it is recommended that all the forms and documents are submitted before August 1st 2022.
The company of the employees will bear all of the responsibilities associated with this procedure; therefore, it is imperative that the employees ensure that all of the information that they supply to the firm is accurate.
The Department of Insurance, the Department of Labor, and the Department of Police are all in charge of this regulation, it is important that both the employers and the employees adhere to all of the guidelines provided by the Government. The authorities will determine whether or not the employee is eligible to receive the rent assistance.
What can Cekindo do to help you and your employees implement this policy?
Understanding that our businesses are requiring a lot of effort and time to get back on track after Covid-19 and deal with the rising inflation as a result of the war between Russia and Ukraine, and companies are handling an extremely heavy workload, Cekindo has a new service called “HOUSE RENTAL ALLOWANCE POLICY FOR THE EMPLOYEES”, which we believe can save a lot of time for corporates in need of assistance with helping their employees receive the allowance. This service shall include:
- Consulting on the process as well as forms and documents needed from the employees (under the condition that all the information provided by the employees is true)
- Collecting necessary information from the client and the company’s HR department to prepare the report content
- Preparing and submitting the application to the District Insurance department
- Reviewing and checking the report status of the client on the insurance system
- Adjusting the document per guidance from District Insurance department
- Submitting the document to the District Labor department
- Receiving feedback from your District Labor department on whether they approve to pay or refuse to pay
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