ILO: Vietnam’s COVID-19 aid package an investment in socio-economic stabilisation

Amid increasingly complicated developments of the COVID-19 pandemic, the Vietnamese Government’s Resolution 68 on a support package worth 26 trillion VND (1.13 billion USD) for affected employees and employers, is a bright spot, according to an official from the International Labour Organization (ILO).
People affected by COVID-19 receive cash grant under the financial assistance package from the Government in 2020. (Illustrative photo: VietnamPlus)
People affected by COVID-19 receive cash grant under the financial assistance package from the Government in 2020. (Illustrative photo: VietnamPlus)

Hanoi (VNA) – Amid increasingly complicated developments of the COVID-19 pandemic, the Vietnamese Government’s Resolution 68 on a support package worth 26 trillion VND (1.13 billion USD) for affected employees and employers, is a bright spot, according to an official from the International Labour Organization (ILO).

Resolution No 68 on 12 policies to support pandemic-hit employees and employers was issued in the context of the fourth wave of the COVID-19 pandemic that have spread on a large scale, affecting many industries and fields. Both employees and employers that are affected by the COVID-19 pandemic can gain access to the Government’s support package from July 8.

In an interview granted to press, André Gama, Social Protection Programme Manager at the ILO Vietnam, said the new resolution should be viewed as an investment in stabilising the economy, household income, and workers’ life. The financial support can help families sustain their purchasing power, thus helping maintain the economy and serve post-pandemic recovery.

It is time for Vietnam to review its existing aid packages, particularly those done via the social welfare and social insurance systems, to seek measures for improvements so that Vietnam will be better prepared for future crises, the official recommended.

ILO: Vietnam’s COVID-19 aid package an investment in socio-economic stabilisation ảnh 1André Gama, Social Protection Programme Manager at the ILO Vietnam (Photo: VNA)

Regarding the simplification of related procedures and conditions for accessing the 26 trillion VND package, André Gama affirmed it is a correct and important move.

Based on his experience, complicated administrative procedures make it harder for people to complete paperwork such as the confirmation of their occupations. Hence, it is difficult for them to receive the assistance they need.

During the implementation of administration reform, there is also a need for continuous review of the number of procedures removed to see whether more are necessary, said the ILO official.

He concluded that it is a correct way to ensure that people in need will be supported and no one is left behind in this pandemic./.

 The COVID-19 epidemic continues to impact countries worldwide and also Vietnam, disrupting the global supply chain and affecting economic development.

Global economic development is forecast to be continuously affected by the pandemic throughout 2021. Many domestic industries and sectors face difficulties, so production and business activities of enterprises are stagnant, especially businesses in the sectors of tourism, aviation and transportation.

Despite impacts from two waves of COVID-19 outbreaks in the first half of this year, especially on industrial hubs, Vietnam still posted gross domestic product (GDP) growth of 5.64 percent and its export revenue rose 28.4 percent over the same period last year.

Resolution 68 supports employees who suspended labour contracts or took unpaid leave from May 1, 2021 to December 31, 2021 but were participating in compulsory insurance with the support level of.8-3.7 million VND (78-160 USD) per month depending on their work delay period.

Employees who work under labour contracts but have been suspended from work due to medical quarantine or in lockdown areas, will receive one-time support of 1 million VND (43 USD) per person.

In addition, tour guides who are suspended from work will enjoy one-time support of 3.7 million VND (160 USD).

Pregnant employees are provided an additional 1 million VND (43 USD) per person.

Children who have to be treated for COVID-19 or under medical quarantine will be covered with support of 1 million VND (43 USD) per child.

Meanwhile, companies will get loans to pay for workers during suspended time and for production recovery, while freelancers and a number of other cases will also receive support.

Resolution 68 also promulgates policies to support businesses to borrow money for wages and to restore production and business.
VNA

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