Decision No. 87/2010/QĐ-TTg Regarding the provision of loans to enterprises and workers under the Vietnam Shipbuilding Industry Group and the Vietnam Maritime Corporation for payment of salary arrears, social insurance, health insurance, unemployment insurance, severance pay, and job loss benefits, as well as job creation and vocational training.

Pursuant to …;

Regarding loans for enterprises and workers under the Vietnam Shipbuilding Industry Group and the Vietnam Maritime Corporation to pay off debts for wages, social insurance, health insurance, unemployment insurance, severance pay, unemployment assistance, job creation, and vocational training Based on the Labor Code dated June 23, 1994; the Law Amending and Supplementing Certain Articles of the Labor Code dated April 2, 2002; and the Law Amending and Supplementing Certain Articles of the Labor Code dated November 29, 2006; Considering the proposals of the Minister of Labor, War Invalids and Social Affairs, and the Minister of Finance,

PRIME MINISTER

Pursuant to the Law on Organization of the Government dated December 25, 2001;

Article 1. Loans to repay debts for wages, social insurance, health insurance, unemployment insurance, severance pay, and unemployment assistance

Pursuant to the Social Insurance Law dated June 29, 2006;

1. The following entities that owe wages, social insurance, health insurance, unemployment insurance, severance pay, and unemployment assistance to workers and have the need may borrow from the Vietnam Development Bank to repay such debts including:

DECISION:

a) Enterprises and public service units under the Vietnam Shipbuilding Industry Group;

b) Enterprises under the Vietnam Maritime Corporation transferred from the Vietnam Shipbuilding Industry Group pursuant to Decision No. 926/QĐ-TTg dated June 18, 2010 of the Prime Minister regarding the restructuring of the Vietnam Shipbuilding Industry Group.

The Vietnam Shipbuilding Industry Group and the Vietnam Maritime Corporation hereinafter referred to collectively as the parent company.

2. The maximum loan amount shall be equal to the funds required to repay wages, social insurance, health insurance, unemployment insurance, severance pay, and unemployment assistance (including accrued interest due to wage arrears, social insurance, health insurance, and unemployment insurance as prescribed) up to October 31, 2010 and subsequent periods until December 31, 2011.

3. The loan interest rate is 0% (zero percent).

4. The maximum loan term is 12 months.

Article 2. Loans for job creation and vocational training

Workers who have worked under fixed-term labor contracts from 12 to 36 months or indefinite-term labor contracts with at least 12 months of continuous employment in enterprises and public service units under the Vietnam Shipbuilding Industry Group and enterprises under the Vietnam Maritime Corporation transferred from the Vietnam Shipbuilding Industry Group pursuant to Decision No. 926/QĐ-TTg dated June 18, 2010 of the Prime Minister regarding the restructuring of the Vietnam Shipbuilding Industry Group, and who lost their jobs in 2010 and 2011 without finding new employment and have the need, may borrow according to the following provisions:

1. Borrow from the National Employment Fund under the National Target Program on Employment to create self-employment.

The loan application, in addition to the application for borrowing capital from the National Employment Fund under the National Target Program on Employment, the worker must provide a certified copy of the labor contract and confirmation of termination of the labor contract issued by the enterprise or unit where the worker lost their job.

2. Borrow to study vocational skills pursuant to Decision No. 157/2007/QĐ-TTg dated September 27, 2007 of the Prime Minister on credit for students and trainees (excluding those supported for vocational training under the unemployment insurance policy stipulated in Decree No. 127/2008/NĐ-CP dated December 12, 2008 of the Government detailing and guiding the implementation of certain articles of the Law on Social Insurance concerning unemployment insurance).

The loan application file, in addition to the documents required for borrowing from the National Employment Fund under the National Target Program on Employment, must include a certified copy of the labor contract and a confirmation of termination of the labor contract issued by the enterprise or unit where the worker lost their job.

2. Loans for vocational training pursuant to Decision No. 157/2007/QD-TTg dated September 27, 2007 of the Government Chairman regarding credit for students and trainees (excluding those who are supported for vocational training under the unemployment insurance policy detailed in Decree No. 127/2008/NĐ-CP dated December 12, 2008 of the Government guiding the implementation of certain provisions of the Law on Social Insurance concerning unemployment insurance).

Article 3. Responsibilities of agencies and units

1. The subjects specified in points a and b, Clause 1, Article 1 of this Decision shall be responsible for:

a) Taking the lead and coordinating with the Trade Union Committee to establish a list of employees for whom the enterprise or unit still owes wages, severance pay, unemployment benefits; taking the lead and coordinating with the social insurance agency to prepare a comparison table of social insurance, health insurance, and unemployment insurance debts; requesting confirmation from the parent company;

b) Preparing loan files to repay wage arrears, pay social insurance, health insurance, and unemployment insurance premiums, and provide severance pay and unemployment benefits according to the guidance of the Vietnam Development Bank;

c) Paying outstanding wages, severance pay, and unemployment benefits to employees within 10 (ten) days from the date of receiving the loan; paying outstanding social insurance, health insurance, and unemployment insurance premiums to the social insurance agency within the same period;

d) Summarizing the implementation situation and reporting to the parent company and the Vietnam Development Bank for monitoring and supervision;

2. The parent company shall be responsible for:

a) Confirming that the enterprise or unit has a need for loans as stipulated in Article 1 of this Decision and submitting it to the Vietnam Development Bank according to regulations;

b) Monitoring and supervising the use of loan funds to ensure they are used for the intended purpose and correct beneficiaries;

c) Periodically every six months and annually, summarizing the implementation situation and reporting to the Ministry of Labor, Invalids and Social Affairs and the Ministry of Finance;

3. The Vietnam Development Bank shall be responsible for mobilizing resources, guiding procedures and processes, and providing loans according to the provisions of Article 1 of this Decision;

4. The Social Policy Bank shall balance resources in its plan, guide procedures and processes, and provide loans according to the provisions of Article 2 of this Decision;

5. The Ministry of Finance shall take the lead and coordinate with the Ministry of Planning and Investment to allocate funds to subsidize interest rates for the portion of capital provided by the Vietnam Development Bank to enterprises under the provisions of Article 1 of this Decision, and by the Social Policy Bank to workers under the provisions of Article 2 of this Decision;

6. The Ministry of Labor, Invalids and Social Affairs shall be responsible for summarizing and reporting to the Prime Minister on the implementation of wage payments, social insurance, health insurance, unemployment insurance, severance pay, unemployment benefits, job creation, and vocational training under this Decision;

Article 4. Implementation provisions

2. Ministers, Heads of ministerial-level agencies, Heads of agencies under the Government, Chairpersons of provincial People's Committees directly under the Central Government, and related organizations are responsible for implementing this Decision./.