Vietnam’s Social Insurance Agency announced that the 2025 Labor Law (effective January 1, 2026) caps employee unemployment insurance contributions at 1% of monthly wages. Employers will contribute up to 1% of their total workforce’s monthly payroll, while the government will subsidize an additional 1% of employees’ monthly wages.
If employees take leave but continue receiving wages equal to or exceeding the minimum wage threshold for mandatory social insurance contributions, their unemployment insurance contributions remain based on that wage level.
Career counseling for workers at Hanoi Employment Services Center
Currently, the minimum contribution threshold aligns with the pre-abolished base salary, set at 2.34 million VND/month. The law caps maximum contributions at 20 times the regional minimum wage at the time of payment. Consequently, the maximum unemployment insurance contribution for state-regulated wage earners is 46.8 million VND.
Previously, the Ministry of Home Affairs proposed a 7.2% average increase in the minimum wage, ranging from 250,000 to 350,000 VND above current levels, effective January 1, 2026. This aligns with the National Wage Council’s recommendation to the government.
Specifically, the proposed monthly minimum wages are: Region 1 at 5.31 million VND, Region 2 at 4.73 million VND, Region 3 at 4.14 million VND, and Region 4 at 3.7 million VND. These figures reflect a 250,000–350,000 VND increase, averaging 7.2% over current rates.
Once approved, the new regional minimum wages will set the maximum unemployment insurance contribution base at 74 million VND for Region 4 and 106.2 million VND for Region 1.
In addition to adjusting the unemployment insurance contribution ceiling, the 2025 Labor Law revises employer support conditions for employee training and skill enhancement. Notably, it eliminates the requirement for businesses to face difficulties to qualify for support, instead specifying eligible scenarios such as structural changes, technological shifts, economic factors, natural disasters, pandemics, or production relocation/downsizing.
4 Scenarios Exempted from Mandatory Social Insurance and Unemployment Insurance Contributions Under the New Decree
As of November 30, 2025, Decree 274/2025/NĐ-CP outlines four specific scenarios where individuals are exempt from being considered as evading mandatory social insurance (SI) and unemployment insurance (UI) contributions.
New Regulations on Delayed or Evaded Contributions to Mandatory Social Insurance and Unemployment Insurance
Decree No. 274/2025/NĐ-CP provides detailed regulations on handling late payment, evasion of social insurance, unemployment insurance contributions, and specifies cases that are not considered violations.
Unveiling New Insights on Unemployment Insurance
According to the Ministry of Home Affairs, these latest amendments aim to establish a modern unemployment insurance system, placing workers at its core.
Proposed Adjustments to Minimum Wage Zones for Seven Localities in Ho Chi Minh City
On October 9th, during a press conference addressing socioeconomic issues, Mr. Nguyen Bao Cuong, Head of the Department of Labor, Wages, and Social Insurance at the Ho Chi Minh City Department of Home Affairs, discussed a proposal to adjust the minimum wage zones for certain areas within the city.
Proposed Minimum Wage in Ho Chi Minh City for 2026: What to Expect
Workers in communes, wards, and special zones across Ho Chi Minh City are eligible for a minimum monthly wage ranging from 4,140,000 VND to 5,310,000 VND.
