Decision No. 100/2001/QD-TTg On Amending and Supplementing Certain Provisions of the Financial Management Regulation for the Vietnam Social Security

Pursuant to …;

Regarding Amending and Supplementing Certain Articles of the Financial Management Regulation for the Vietnam Social Security

__________________________

PRIME MINISTER

Pursuant to the Government Organization Law dated September 30, 1992;

Pursuant to Decree No. 19/CP dated February 16, 1995 of the Government on the establishment of the Vietnam Social Security;

Considering the proposal of the Minister of Finance and the Board of Management of the Vietnam Social Security,

DECISION:

Article 1. Now amends and supplements certain articles of the Financial Management Regulation for the Vietnam Social Security issued together with Decision No. 20/1998/QĐ-TTg dated January 26, 1998 of the Prime Minister as follows:

I. AMEND AND SUPPLEMENT CLAUSE 1 OF ARTICLE 14 AS FOLLOWS:

"1. Administrative expenses of the Vietnam Social Security system:

a) Regular administrative expenses of the Vietnam Social Security system include expenditures (including scientific research costs, training costs, retraining costs) serving the operations of the entire sector; excluding major repair costs of fixed assets, procurement and equipment costs of large assets according to projects approved by competent authorities.

b) The State manages the staffing quota for the number of officials and civil servants in the management framework of the Vietnam Social Security system. The Vietnam Social Security is authorized to organize and recruit labor according to the Labor Code regulations to meet job requirements.

c) The source of regular administrative expenses of the Vietnam Social Security system is derived from interest earned from implementing growth activities of the Fund and calculated at 4% of the annual social insurance revenue. This ratio applies in the years 2001 and 2002.

d) If the Vietnam Social Security fulfills its tasks and saves on regular administrative expenses, the surplus shall be used to supplement the following items: - Supplementing salaries and wages for workers in the entire sector based on the degree of completion of work, but the maximum income level does not exceed twice the current state-prescribed salary fund.

- Paying wages to contractual workers when necessary to ensure the completion of work.

- Supplementing two reward funds and welfare funds up to three months of the actual average wage of the entire sector.

- Supplementing additional allowances for workers in the system when implementing labor adjustment policies and staff reduction according to state regulations.

- Any remaining amount (if any) after allocating the above four items will be transferred to the next year for continued use."

II. AMEND AND SUPPLEMENT ARTICLE 18 AS FOLLOWS:

"Interest from investment and fund growth activities of social insurance is allocated and used as follows:

1. Allocating 50% to supplement the social insurance fund to maintain and grow it.

2. Allocating funds for regular administrative expenses of the Vietnam Social Security system.

3. Allocating two reward and welfare funds equal to three months of the actual average wage of the entire sector.

4. The remainder is used to supplement the capital for construction of material infrastructure for the entire Vietnam Social Security system."

Article 2. This Decision takes effect from January 1, 2001. Previous provisions contrary to those in this Decision cease to be effective.

Article 3. The Ministry of Finance is responsible for guiding and supervising the implementation of this Decision.

Article 4. Ministers, Heads of ministerial-level agencies, Heads of agencies under the Government, Chairmen of People's Committees of provinces and centrally governed cities, Board of Management of the Vietnam Social Security, General Director of the Vietnam Social Security are responsible for enforcing this Decision.