Starting July 1, 2025, Vietnam will implement new regulations regarding pension eligibility and benefits for workers, including special provisions for military personnel, public security forces, and other related groups. These changes come under the Social Insurance Law 2024 and are detailed in two government decrees issued on June 25, 2025: Decree No. 158/2025/ND-CP and Decree No. 157/2025/ND-CP.
The core principle of the new regulations is that workers who have contributed at least 15 years to mandatory social insurance (BHXH) will become eligible for retirement benefits. For the general labor force, men need to reach 61 years and 3 months, while women must be 56 years and 8 months old to qualify for a pension. This marks a clear framework for retirement, aiming to balance social security sustainability with workers' welfare.
Decree No. 158/2025/ND-CP outlines the general pension eligibility conditions for laborers. It specifies that workers with at least 15 years of social insurance contributions are entitled to retirement benefits upon reaching the designated age. Special attention is given to workers in hazardous industries, such as coal mining in underground mines, which are regulated under Appendix I of the decree. For these workers, the retirement conditions may differ due to the nature of their jobs.
One notable administrative detail is how the government will handle cases where an employee’s birthdate is incomplete. If only the birth year is known, January 1 of that year will be considered the official birthdate for pension eligibility calculations. Similarly, if only the month and year are known, the first day of that month will be used. This approach ensures fairness and consistency in determining retirement age.
The decree also clarifies how to calculate work periods in regions with regional allowance coefficients of 0.7 or higher, particularly for work done before January 1, 1995. If current laws do not specify or set a lower coefficient, but previous regulations indicated a higher coefficient, those earlier rules will be applied. Additionally, time served in battlefields B and C before April 30, 1975, and battlefield K before August 31, 1989, will count as social insurance contribution periods and as work in high regional allowance areas, thus benefiting pension eligibility.
Furthermore, the decree addresses workers who have had their military or police titles revoked. These individuals’ pension eligibility will follow the standard criteria outlined in the Social Insurance Law, ensuring no exceptions or special treatments for such cases.
Meanwhile, Decree No. 157/2025/ND-CP specifically targets military personnel, public security officers, permanent militia members, and confidential workers receiving military-like salaries. This decree sets out mandatory social insurance regimes covering sickness, retirement, and survivorship benefits tailored to these groups’ unique circumstances.
Regarding retirement, the decree identifies three main groups of workers eligible for pensions after contributing at least 15 years to social insurance. These include persons specified in points d, dd, and e, Clause 1, Article 2 of the Social Insurance Law. The decree introduces a retirement roadmap allowing these workers to retire up to five years earlier than the general labor code stipulates. For example, male laborers can retire at 56 years and 3 months in 2025, gradually increasing to 57 years by 2028. Female laborers can retire at 51 years and 8 months in 2025, with the age rising to 55 years by 2035.
This early retirement option applies especially to those working in arduous, hazardous, or extremely hazardous jobs, or in areas with special socio-economic difficulties. The decree includes detailed provisions on how to calculate work periods in these regions, consistent with the earlier decree’s approach.
Importantly, workers infected with HIV/AIDS due to occupational accidents while performing assigned duties are eligible for retirement benefits regardless of age, reflecting a compassionate stance toward workplace health risks.
The decree also outlines pension eligibility for workers who have contributed 20 years or more to social insurance and meet additional criteria. For military personnel, men with at least 25 years and women with 20 years of service are eligible if their forces no longer require their services or if they cannot transfer to other roles. Similar conditions apply to public security personnel and confidential workers, with specific service duration thresholds and employment conditions.
Workers with a labor capacity reduction of 61% or more who have contributed 20 years or more are eligible for a lower pension. The age threshold for early retirement due to reduced labor capacity is up to five years younger than the standard retirement age. Those in particularly arduous or hazardous jobs with such labor capacity reduction can retire regardless of age.
To address cases where social insurance records are incomplete or missing, the decree allows the use of alternative documents such as labor contracts, discharge decisions, or recruitment papers. This provision ensures that workers are not unfairly denied benefits due to administrative gaps.
For workers who nearly meet the contribution requirements—between 14 years 6 months and under 15 years, or 19 years 6 months and under 20 years for those with significant labor capacity reduction or special job conditions—a one-time lump-sum payment option is available. This allows them to top up their contributions and qualify for pension benefits. The payment amount and timing are regulated under Clause 7, Article 33 of the Social Insurance Law, with the earliest payment being the month before eligibility.
The decree also details how monthly pensions are calculated. The pension amount is a percentage of the average salary used for social insurance contributions, as defined in Article 72 of the Social Insurance Law. For certain special occupations in the armed forces, if the pension rate is below the maximum 75%, it is calculated as 50% for the first 15 years for men (55% for women), plus 3% for each additional year, up to a cap of 75%. Odd months are calculated proportionally. However, this special calculation excludes the one-time retirement allowance.
The increased pension amounts for these special cases are funded by the state budget. The decree explicitly excludes pension benefits for individuals dismissed due to military or police disciplinary violations or legal infractions. Vietnam Social Security annually reports the difference in pension amounts for these special occupations to the Ministry of Finance to ensure budgetary coverage.
The decrees set out the framework for calculating reductions in pension benefits due to early retirement, following the guidelines in the Social Insurance Law. The effective date for retirement benefits due to labor capacity reduction is the first day of the month following when all eligibility conditions are met, including a medical assessment confirming at least a 61% reduction in labor capacity.
Additionally, a one-time retirement allowance is calculated as 0.5 months of average salary for each year of social insurance contributions exceeding the years corresponding to the maximum 75% pension rate. If an eligible worker continues to contribute after meeting pension eligibility, the allowance doubles to two times the average salary for each additional year until retirement.
All these regulations and policies come into effect on July 1, 2025, marking a significant update to Vietnam’s social insurance and pension system. They aim to provide clearer, fairer, and more comprehensive support for workers, especially those in demanding or hazardous roles, while ensuring the sustainability of the social insurance fund.
Vietnam’s government has taken considerable steps to modernize its social security framework, balancing the needs of its workforce with economic realities. By setting detailed guidelines and flexible options, including early retirement pathways and lump-sum contribution top-ups, these decrees offer workers greater clarity and security about their retirement futures.
As these new rules come into force, workers, employers, and social insurance agencies alike will need to adapt to the updated requirements and procedures. The government’s emphasis on inclusivity, fairness, and responsiveness to special circumstances reflects a commitment to strengthening the social safety net in a rapidly changing economic landscape.