Birth Allowance in Vietnam: Essential Considerations for Employers

In Vietnam, the government provides financial support to female employees who have recently given birth or adopted a child under six months old. This birth allowance aims to alleviate some of the financial burdens associated with childbirth and early child-rearing.

Eligibility and Benefits

To qualify for the birth allowance, female labourers must have contributed to social insurance for at least six months within the 12 months preceding childbirth or adoption. The allowance is a lump-sum payment equivalent to two months of the common minimum salary for each child. As of the 1st of July 2024, this amount stands at VND 4.68 million per child. This is equivalent to USD 183.85 and GBP 144.03.

Special Provisions

The policy also includes provisions for cases where the mother dies in childbirth. If the father is covered by social insurance, he becomes eligible for the same lump-sum allowance that would have been granted to the mother.

Implications for Employers and Employees

• The birth allowance in Vietnam provides crucial support for families during the initial stages of parenthood.

• Supporting female employees through policies like the birth allowance promotes gender equality and inclusion in the workplace.

• Employers must ensure compliance with Vietnam's social insurance laws and regulations.

• Employers will need to effectively plan temporary absences due to maternity or adoption, ensuring that business operations continue smoothly during the employee's absence.