Should There Be a Time Limit on Unemployment Benefits for Workers?

Building on the Employment Law of 2013 regarding the procedure for unemployment benefits, Clause 1, Article 66 of the Draft Amended Labor Law stipulates that within three months from the date of termination of the labor contract, employment contract, or cessation of work, employees shall directly submit their dossiers for unemployment benefits at the job service centers established by the provincial People’s Committees, unless there are force majeure circumstances. However, this regulation has revealed some shortcomings in practice.

Mr. Tran Dung Ha, Deputy Director of Vietnam Social Security in Ho Chi Minh City, believes that this regulation is unnecessary. Many employees who have been laid off or lost their jobs are unable to find new employment within three to six months or even a year. In such cases, if these employees (who had previously participated in unemployment insurance and met the requirements) now wish to receive unemployment benefits, they should still be eligible. Besides limiting the time frame for the application process, the three-month rule also restricts the time employees have to actively look for new jobs and puts pressure on the job service centers to process the dossiers. Therefore, Mr. Ha suggests removing this regulation.

According to Mr. Pham Van Hien, Deputy Director of the Legal Consultancy Center of the Ho Chi Minh City Labor Federation, the unemployment benefit scheme includes not only the monthly allowance but also other supportive policies such as counseling, job referrals, and vocational training for the unemployed. However, in reality, many employees who have participated in unemployment insurance do not enjoy these benefits when they lose their jobs or resign because businesses delay paying unemployment insurance premiums and finalizing social insurance books, causing employees to miss the deadline for submitting their applications. Therefore, Mr. Hien proposes extending the deadline for employees to apply for unemployment benefits from three months to six months. This extension would provide employers with more time to resolve their debts and complete the necessary procedures when terminating labor contracts with employees. Simultaneously, it would afford employees additional time to seek suitable employment or decide whether to receive or reserve their unemployment benefits.

Concurring with the above opinions, Ths Hoang Thi Minh Tam, a lecturer at Ho Chi Minh City University of Law, suggests adjusting the deadline for employees to submit their applications to safeguard their right to receive unemployment benefits. Specifically, the deadline should commence from the date when the employer fulfills their responsibility to pay the full amount of unemployment insurance premiums and completes the procedures to confirm the employee’s participation information in unemployment insurance as per the decision of the competent state agency or the effective verdict of the court.