Early retirement groups are not subject to a 2% reduction

Hanoi City Social Insurance answers:

The 2024 Law on Social Insurance (BHXH) stipulates many cases of enjoying pensions at a lower age than the normal retirement age and the benefit level is calculated according to the provisions of Article 66, not applying a 2% reduction for each year of early retirement as in the case of retirement due to reduced working capacity.

The first group is employees who have compulsory social insurance contributions for 15 years or more, and at the same time have a total period of 15 years of working in heavy, hazardous, dangerous or especially heavy, hazardous, dangerous occupations and jobs in the list according to regulations. People who meet age conditions according to Clause 3, Article 169 of the Labor Code can receive pensions according to Article 64.

The second group is people who have enough time to pay compulsory social insurance according to regulations, with a total time of 15 years of working in areas with particularly difficult socio-economic conditions. The working time in places with regional allowances with a coefficient of 0.7 or higher before January 1, 2021 is also calculated when determining conditions according to the law.

The third group is people with 15 years of experience in coal mining in underground mines. With their specific nature of labor, this group can retire at a maximum age 10 years younger than the retirement age in normal working conditions when fully meeting the prescribed legal conditions.

The fourth group is people infected with HIV/AIDS due to occupational accidents while performing assigned tasks. This is a special case specifically regulated by Article 64 of the 2024 Law on Social Insurance when determining the conditions for enjoying pensions.

For the armed forces, the 2024 Law on Social Insurance also designs conditions for enjoying pensions suitable to the nature of the profession. Subjects belonging to this group include officers, professional soldiers of the People's Army; officers, non-commissioned officers, professional officers, non-commissioned officers of the People's Police; people working in cipher work receiving salaries as for soldiers.

The fifth group, subjects belonging to the above-mentioned armed forces, when quitting their jobs, having compulsory social insurance contributions for 15 years or more, can receive pensions at an age a maximum of 5 years younger than the normal retirement age, unless specialized laws otherwise stipulate.

The sixth group are subjects belonging to the armed forces who meet the conditions on social insurance contribution time, and at the same time have a total time of 15 years of working in heavy, hazardous, dangerous or especially heavy, hazardous, dangerous professions and jobs. This condition also applies to working time in areas with particularly difficult socio-economic conditions as prescribed.

The seventh group is people belonging to the armed forces who are infected with HIV/AIDS due to occupational accidents while performing assigned tasks. When meeting the conditions on compulsory social insurance participation time, employees are considered for pension benefits according to separate regulations in Article 64.

The eighth group may be noted from the regulations on retirement due to reduced working capacity. In case of Article 65, if the pre-retirement period is less than 6 months, the pension benefit rate is not reduced. If the pre-retirement period is from 6 months to less than 12 months, the reduction is 1%; from one year or more, the general principle is that each year of early retirement is reduced by 2%.

Thus, the decisive factor for the benefit level does not lie in how many years a person "retires early". The Social Insurance Agency must also base on the group of subjects, retirement age, number of years of social insurance contribution, occupation, working conditions and the basis for enjoying benefits to accurately determine benefits.

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