Workplace Safety Standards Progress Globally including Vietnam

July 7th, 2016

The Vietnamese Government has issued a notice regarding mandatory occupational accident Insurance. As of July 1, 2016, on a monthly basis, an employer shall make a 1% salary fund contribution to the Social department for their employees with labor contracts who are covered by compulsory insurance for occupational accidents and diseases. Employees will have the right to receive benefit from this fund if an occupational accident or disease is incurred. In regards to employers being enterprises, cooperatives, business households or cooperative groups that engage in agriculture, forestry, fishery or salt industry and pay product-based or piecework-based salaries, the contribution specified may be made on three or six month intervals.

These changes to insurance are considered to be good for Vietnam and align with international practice. Occupational safety and health management are newer concepts for developing countries, unlike the U.S, the U.K. and Canada, which have had federal agencies overseeing safety for some time now. All this is changing, as companies in countries throughout the global economy are aware that occupational safety and health are major and important socio-economic policies for sustainable development as they create goals and policies for workplace safety. “ASEAN states are making every effort to boost reform, improve the quality of human resources, and build healthy working environments for laborers, thus increasing labor productivity”, said Doan Mau, the Deputy Minister of Labour, Invalids and Social Affairs.

More information is available in our Contribution Rates for Vietnam 2016 page.  For any more questions about working in Vietnam or questions regarding compliance across all Asia, please contact Tiger-Consulting Asia at We have more than a dozen offices across Asia Pacific to support business operations in Australia, Cambodia, China, Hong Kong, India, Indonesia, Korea, Malaysia, New Zealand, Philippines, Singapore, Taiwan, Thailand, USA, Vietnam & UAE. Also, recently expanding in three new countries - Madagascar, Bahrain, & Pakistan. Custom quotes are free of charge.

Mercy Mildener
Public Relations and Marketing Consultant

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