Circular No. 203/2011/TT-BTC on guiding support for organizations and units employing laborers who are ethnic minorities residing legally in the Central Highlands provinces pursuant to Decision No. 75/2010/QĐ-TTg dated November 29, 2010 of the Government Prime Minister.

CIRCULAR

Regarding guidance on supporting organizations and units employing laborers who are ethnic minorities residing legally in

the Central Highlands provinces pursuant to Decision No. 75/2010/QĐ-TTg dated November 29, 2010 of the Government Prime Minister

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On the basis of Decree No. 118/2008/NĐ-CP dated November 27, 2008 of the Government on the functions, tasks, powers, and organizational structure of the Ministry of Finance;

On the basis of Decision No. 75/2010/QĐ-TTg dated November 29, 2010 of the Government Prime Minister on supporting organizations and units employing laborers who are ethnic minorities residing legally in the Central Highlands provinces.

The Ministry of Finance hereby provides guidance on supporting organizations and units employing laborers who are ethnic minorities residing legally in the Central Highlands provinces as follows:

PART I

GENERAL PROVISIONS

Article 1. Scope of Regulation

This Circular guides the policy on support regarding health insurance funds, social insurance funds, unemployment insurance funds (hereinafter referred to collectively as insurance), training, labor norms, and land rental fees for organizations and units employing laborers as stipulated in Article 2 of Decision No. 75/2010/QĐ-TTg dated November 29, 2010 of the Government Prime Minister on supporting organizations and units employing laborers who are ethnic minorities residing legally in the Central Highlands provinces.

Article 2. Applicability

The objects subject to this Circular include state-owned single-member limited liability companies operating agriculture and forestry in the Central Highlands provinces using land for agricultural and forestry production and aquaculture; Specialized Forest Management Boards, Protective Forest Management Boards; non-state enterprises (excluding foreign-invested enterprises) using land for agricultural and forestry production and aquaculture employing ethnic minority laborers eligible for state support for production and residential land in the Central Highlands provinces (hereinafter collectively referred to as employing units).

Article 3. Principles of the Support Policy

1. Regarding Training:

The State budget supports short-term vocational training (up to primary level and training under three months) with a maximum amount of VND 3 million per person per course (specific support amounts according to each profession and actual training duration) for the training of vocational skills, providing food, accommodation, and travel expenses for general ethnic minority laborers meeting recruitment conditions based on the employment and training plans of employing units.

2. Regarding Social Insurance, Health Insurance, Unemployment Insurance:

The State budget will cover the payment of social insurance, health insurance, and unemployment insurance premiums for newly recruited or contracted ethnic minority laborers by employing units. The support period is five years from the date the worker starts working at the unit.

3. Regarding Application of Labor Norms:

Employing units may apply labor norms at eighty percent of the common labor norms determined by competent authorities for allocating or paying wages to ethnic minority workers.. The central government budget will support twenty percent of the common labor norms of the unit for allocating or paying wages to ethnic minority workers. The application period is five years from the date the worker starts working at the unit.

Competent authorities determining labor norms include:

- For employing units under economic groups and Group 91, the decision is made by the Board of Directors of the economic group or Group 91.

- For employing units directly under ministries managing key industries, the decision is made by the respective ministry heads.

- For employing units directly under localities including non-state enterprises located within the locality, the decision is made by the Chairman of the People's Committee of the province or centrally-administered city.

4. Regarding Land Rental Fees:

a) Employing units that employ between thirty percent and less than fifty percent of ethnic minority laborers compared to the total number of workers present at the unit (based on the number of workers present as of June 30 of the previous year when preparing the budget) shall have their land rental fees reduced by fifty percent for the area of land required to be rented according to the laws on land.

b) Employing units that employ fifty percent or more of ethnic minority laborers compared to the total number of workers present at the unit (based on the number of workers present as of June 30 of the previous year when preparing the budget) shall be exempted from one hundred percent of land rental fees for the area of land required to be rented according to the laws on land.

Article 4. Sources of financial support

The central government budget will support one hundred percent of the costs for training, insurance, and twenty percent of the common labor norms of the unit for allocating or paying wages to ethnic minority workers.

Chapter II

SPECIFIC PROVISIONS

Article 5. Establishing the budget for training expenses, insurance costs, and 20% of the general labor quota to be supported by the state budget.

Along with the annual state budget preparation period, based on guidelines for budget planning, labor-using units shall establish the budget for supporting training expenses, insurance contributions, and supporting 20% of the unit's general labor quota for allocation or payment of wages to workers and submit it to the higher-level management agency: Economic Groups, Group 91 for units under Economic Groups, Group 91; Ministries managing key business sectors (referred to as Ministries) for units under Ministries; Provincial Department of Finance for units under provincial People's Committees, centrally-administered cities, and non-state enterprises within their jurisdiction (referred to as local units); the Provincial Department of Finance shall aggregate and determine the portion of the central government budget support according to regulations to report to the provincial People's Committee. ) are determined according to the following formula: for the purpose of assigning tasks or paying remuneration to employees, the units shall submit to their superior management agencies: Economic Groups or State Corporation 91 for units under Economic Groups or State Corporation 91; Ministries managing key business sectors (referred to as Ministries) for units under Ministries; Department of Finance for units under provincial People's Committees, centrally-administered municipal People's Committees, and non-state enterprises within their jurisdiction (referred to as local units); the Department of Finance shall aggregate and determine the portion of central budget support according to regulations and report it to the provincial People's Committee.

1. Establishing the budget for training expense support: Establish the budget according to Appendix 1 attached to this Circular, wherein:

a) The number of ethnic minority workers hired but not yet trained, estimated up to December 31 of the reporting year.

b) The number of ethnic minority workers needed to be recruited and trained in the planned year.

d) Training duration: Depending on the trade and training method determined by the unit head, but not exceeding three months per course at most.

đ) Training form: Can be centralized training at vocational schools or training at the unit.

d) Training form: It can be centralized training at vocational schools or on-the-job training at the unit.

e) Fee level: According to specific fee levels for each profession and actual training time at vocational schools conducting centralized training or on-the-job training at the unit, with a maximum of three million VND per person per course.

2. Establishing the budget for social insurance, health insurance, unemployment insurance contribution support:

a) The number of workers as of December 31 of the reporting year.

b) The number of new workers expected to be recruited in the planned year.

d) Support level.

3. Establishing the budget for supporting 20% of the general labor quota: According to Appendix 3 attached to this Circular, including:

3. Establishing the budget for 20% of the general labor quota support: According to Appendix 3 attached to this Circular, wherein:

a) The number of workers as of December 31 of the reporting year.

b) The number of new workers expected to be recruited in the planned year.

c) The general labor quota of the unit for allocation or payment of wages to workers determined by the competent authority pursuant to Point 3, Article 3 of this Circular.

4. Aggregating the budget:

a) State-owned Economic Groups and State-Owned Corporations shall aggregate the budget for training, insurance support, and support for 20% of the general labor quota into the annual state budget expenditure plan of the State-owned Economic Group or State-Owned Corporation for their affiliated units and submit it to the Ministry of Finance for inclusion in the central government budget report to the Prime Minister for submission to the National Assembly for consideration and decision in accordance with the State Budget Law.

a) Economic Groups, Group 91 shall aggregate the budget for training expenses, social insurance, health insurance, unemployment insurance support, and 20% of the general labor quota support into the annual state budget expenditure plan of Economic Groups, Group 91 for units under Economic Groups, Group 91 and submit it to the Ministry of Finance for consolidation in the central state budget plan to be reported to the Prime Minister for submission to the National Assembly for consideration and decision in accordance with the State Budget Law.

b) Ministries shall aggregate the budget for training expenses, social insurance, health insurance, unemployment insurance support, and 20% of the general labor quota support into the annual state budget expenditure plan of Ministries for units under Ministries and submit it to the Ministry of Finance for consolidation in the central state budget plan to be reported to the Prime Minister for submission to the National Assembly for consideration and decision in accordance with the State Budget Law.

c) Provincial People's Committees shall aggregate the budget for training expenses, social insurance, health insurance, unemployment insurance support, and 20% of the general labor quota support into the annual state budget expenditure plan of localities for units managed by localities (including non-state enterprises within their jurisdiction) and submit it to the Ministry of Finance for consolidation in the central state budget plan to be reported to the Prime Minister for submission to the National Assembly for consideration and decision in accordance with the State Budget Law.

Based on the approved funding amount by the National Assembly, the Prime Minister's Decision allocating the state budget, the Ministry of Finance shall notify the funding for training support, insurance contribution support, and support for 20% of the general labor quota to Ministries, sectors, State-owned Economic Groups, State-Owned Corporations, and localities. The notification shall be made before December 31 each year.

Based on the approved budget amount by the National Assembly, the Prime Minister decides, and the Ministry of Finance announces the allocation of the budget for training support, social insurance, health insurance, unemployment insurance support, and 20% of the general labor quota support to the entities specified in this Circular: Economic Groups, Group 91, Ministries, and provincial People's Committees (including non-state enterprises). Economic Groups, Group 91, Ministries, and provincial People's Committees shall implement the allocation and distribution of the budget for training support, insurance support, and 20% of the general labor quota support to labor-using units under Economic Groups, Group 91, Ministries, and localities (including non-state enterprises).

Article 6. Allocation of Financial Support Funds

1. For central units, the Ministry of Finance issues payment orders to labor-using units through Economic Groups, Group 91, and Ministries. Economic Groups, Group 91, and Ministries shall directly provide financial support to individual units.

2. For local units, the Ministry of Finance implements targeted supplementary funding from the central budget to the local budget, and the provincial People's Committee directs the Provincial Department of Finance to directly provide financial support to local labor-using units, including non-state enterprises, in accordance with the State Budget Law.

Article 7. Settlement and Inspection Work

Units receiving financial support must settle the accounts for training support expenses, insurance payments (with confirmation from the local insurance agency), and 20% of the general labor quota support according to the settlement guidelines for expenses from the operating fund.

For central units: Settlement reports shall be submitted to Economic Groups, Group 91 (for units under Economic Groups, Group 91); and to Ministries (for units under Ministries). Economic Groups, Group 91, and Ministries shall review the settlement accounts of the units' support expenses and aggregate them to submit to the Ministry of Finance for monitoring and supervision.

For local units: Settlement reports shall be submitted to the Provincial Department of Finance, which shall review the settlement accounts for training support expenses, insurance payments, and 20% of the general labor quota support and aggregate them to submit to the provincial People's Committee for approval and then to the Ministry of Finance for monitoring and supervision.

Article 8. Accounting entries:

1. For Enterprises

1.1. In cases where the state budget provides funds through payment orders:

a) For non-concentrated training support funds (training at the unit), when receiving the support funds, the unit shall record:

Debit Account 111 - Cash, or debit Account 112 - Bank Deposits

Credit Account 461 - Operating Fund Source.

When spending money for training activities:

Debit Account 161 - Operating Expenditure

Credit Account 111 - Cash, or Account 112 - Bank Deposits.

b) For the portion of the support budget for centralized training forms, social insurance, health insurance, unemployment insurance for ethnic minorities, the unit shall record:

Debit Account 161 - Operating Expenditure

There shall be account 331 - payable to suppliers, or account 338 - other payables and receivables, detailed accounts including account 3383 - Social insurance, account 3384 - Health insurance, and account 3389 - Unemployment insurance.

When processing the transfer of funds for payment of training contracts and social insurance contributions, the accounting unit shall:

Debit account 331 - payable to suppliers, or account 338 - other payables and receivables, detailed accounts including account 3383 - Social insurance, account 3384 - Health insurance, and account 3389 - Unemployment insurance.

Credit account 111 - Cash on hand, or account 112 - Bank deposits.

c) Upon approval of the settlement, the accounting unit shall:

Debit account 461 - Operating fund sources.

Credit account 161 - Operating expenses.

d) For support funds amounting to 20% of the common labor quota, when receiving the support funds, the unit shall record:

Debit account 112 - Bank deposits.

Credit account 461 - Operating fund sources.

When disbursing money to employees:

Debit Account 161 - Operating Expenditure

Credit account 111 - Cash on hand.

1.2 In cases where the State budget allocates operating funds through the form of a budget allocation: Upon receipt of notification, the units shall record debits to account 008 - Budgeted operating expenses, projects; when withdrawing budgeted operating expenses, projects for disbursement, the units shall record credits to account 008 - Budgeted operating expenses, simultaneously recording credits to account 461 - Operating fund sources, corresponding to relevant accounts.

2 For public service units.

2.1 In cases where the State budget allocates operating funds through payment orders:

a) When receiving support funds: For non-concentrated training support funds (training at the unit), the unit shall record:

Debit account 112 - Bank deposits.

Credit Account 461 - Operating Fund Source.

When spending money for training activities:

Debit account 661 - Operating costs.

Credit account 111 - Cash on hand.

b) For funding support for concentrated training forms and social insurance contributions: Based on the training contract, the amount of social insurance contributions (social insurance, health insurance, unemployment insurance) for ethnic minority workers, the accounting unit shall:

Debit account 161 - Operating costs.

Credit account 331 - Payable, or account 332 - Insurance payable.

When processing the transfer of funds at the treasury for payment of training contracts and social insurance contributions, the accounting unit shall:

Debit account 331 - Payable, or account 332 - Insurance payable.

Credit account 461 - Operating fund sources.

c) Upon approval of the settlement, the accounting unit shall:

Debit account 461 - Operating fund sources.

Credit account 161 - Operating costs.

d) For funding support of 20% labor quota, upon receipt of the support funds, the accounting unit shall:

Debit account 112 - Bank deposits.

Credit account 461 - Operating fund sources.

When disbursing money to employees:

Debit account 661 - Operating costs.

Credit account 111 - Cash on hand.

2.2 In cases where the State budget allocates operating funds through the form of a budget allocation: Upon receipt of notification, the units shall record debits to account 008 - Budgeted operating expenses, projects; when withdrawing budgeted operating expenses, projects for disbursement, the units shall record credits to account 008 - Budgeted operating expenses, simultaneously recording credits to account 461 - Operating fund sources, corresponding to relevant accounts.

Article 9. Exemption and reduction of land rental fees:

Annually, along with the time of preparing the budget proposal for requesting state budget support funds to implement Decision No. 75/2010/QĐ-TTg dated November 29, 2010 of the Prime Minister, the unit shall prepare a dossier to request the People's Committee of the province or the agency authorized by the People's Committee of the province to decide on exemption and reduction of land rental fees according to Decision No. 75/2010/QĐ-TTg dated November 29, 2010 of the Prime Minister, including:

1. A letter requesting the competent authority at the provincial level to decide on exemption or reduction of land rental fees for the unit according to Decision No. 75/2010/QĐ-TTg dated November 29, 2010 of the Prime Minister:

2. List of employees recruited up to June 30 of the previous year before the budget preparation (including the number of ethnic minority employees, the number of employees currently employed and recruited by the unit);

3. Employment contract between the unit and the employee (a copy, photocopied and stamped by the unit);

4Land lease contract for the area of land belonging to the unit that must be leased according to the laws on land (a copy, photocopied and stamped by the unit).

Based on the dossier prepared and submitted by the unit to the competent authority for review, a decision on exemption or reduction of land rental fees for the unit shall be made. The time for the competent authority to review and make a decision on exemption or reduction of land rental fees for the unit is 10 working days from the date of receiving the complete dossier.

Article 10. Handling Violations:

If units or individuals take advantage of the preferential policies for ethnic minority laborers stipulated in Decision No. 75/2010/QĐ-TTg dated November 29, 2010 of the Prime Minister to benefit their units and themselves, they will be handled according to the law and the provisions below:

1. If there is a false report on the number of ethnic minority laborers, training funds, insurance funds, general labor quotas, leading to the withdrawal of state support exceeding the actual amount received, the head of the unit shall be responsible for compensating the State budget.

2. If there is a false report on the number of laborers as prescribed, leading to the determination of the ratio of ethnic minority laborers to the total number of recruited laborers present at the unit to be exempted or reduced from land rental fees, in addition to having to pay back the land rental fees, the head of the unit will also be handled as if they had falsely reported the financial situation of the unit.

Chapter III

IMPLEMENTATION

Article 11. Effective date:

1. For the year 2011, units employing laborers eligible for supportive policies under Decision No. 75/2010/QĐ-TTg dated November 29, 2010 of the Prime Minister shall prepare reports requesting support for training costs, insurance, and 20% of the general labor quota as prescribed in Decision No. 75/2010/QĐ-TTg dated November 29, 2010 of the Prime Minister and guided in this Circular and send them to the superior management agencies: Economic Groups, Corporation 91 for units under Economic Groups, Corporation 91; Ministries managing the main business sectors for units under Ministries; Provincial People's Committees for units under localities. Economic Groups, Corporation 91, Ministries, and Provincial People's Committees shall review, consolidate, and submit requests for central budget support to the Ministry of Finance for consideration and decision by the Prime Minister. This Circular takes effect from February 15, 2012.

2. During implementation, if there are difficulties, it is recommended that agencies and units promptly reflect them to the Ministry of Finance for study, amendment, and supplementation./.

3. During implementation, if there are any difficulties, the relevant agencies and units are requested to promptly reflect them to the Ministry of Finance for study and amendment./.