Employees and Social Insurance upon Dissolution

The company must compensate its employees in accordance with the law if it fails to perform, or only partially performs, its responsibility to pay compulsory social insurance contributions and thereby harms their lawful rights and interests.

• For the order of paying social insurance debts upon dissolution, and whether a company that still owes social insurance can be dissolved: see question a35.

Basis: Clause 8, Article 13 of the Law on Social Insurance No. 41/2024/QH15. Further reading: /kien-thuc/giai-the-doanh-nghiep-dong-lao-dong-bhxh/. Thái Tín can help review social insurance debts and employee entitlements before dissolution.

The employer is responsible for coordinating with the social insurance authority in returning the paper social insurance books to employees. This should be completed before the company files its dissolution dossier.

• For confirmation of the contribution period upon dissolution: see questions a34 and a40; for the deadline for payments to employees: see a37.

Basis: Clause 1, Article 13 of the Law on Social Insurance No. 41/2024/QH15. Further reading: /kien-thuc/ho-so-lao-dong-bhxh-doanh-nghiep-lon/.

Yes. Within 07 working days from the date of adoption, the dissolution resolution or decision and the meeting minutes must be sent to the business registration authority, the tax authority and the employees of the enterprise; they must also be published on the National Business Registration Portal and posted publicly at the head office, branches and representative offices.

Basis: Clause 3, Article 208 of the Law on Enterprises No. 59/2020/QH14. Further reading: /kien-thuc/ho-so-giai-the-doanh-nghiep/.

The dissolution resolution or decision must include a plan for handling the obligations arising from labor contracts, in addition to the company name, head office address, reason for dissolution, the time limit and procedure for liquidating contracts and paying debts, and the signature of the competent person.

• For what employees are entitled to receive: see question a36.

Basis: Clause 1, Article 208 of the Law on Enterprises No. 59/2020/QH14. Further reading: /kien-thuc/giai-the-doanh-nghiep-dong-lao-dong-bhxh/.

The confirmation of the contribution period must still be carried out, and the safe approach is to pay the outstanding amount in full first. When an employee leaves, the company must complete the procedure for confirming the period of social insurance and unemployment insurance contributions, in coordination with the social insurance authority; if contributions are still late, the company is required to pay the full overdue amount plus an additional 0.03% per day on the overdue amount. You should reconcile the debt with the social insurance authority, pay it in full, and then issue the confirmation for each employee.

Basis: Labor Code No. 45/2019/QH14 (Consolidated Text 18/VBHN-VPQH of 2026), Article 48, Clause 3, Point a; Law on Social Insurance No. 41/2024/QH15 (Consolidated Text 19/VBHN-VPQH dated 12/02/2026), Article 13, Clause 3; Article 40, Clause 1

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Yes, once the debt has been paid in full. Debts for social insurance, health insurance and unemployment insurance belong to the group of employee entitlements, which are paid ahead of even tax debts, and the enterprise must pay all its debts before filing the dissolution dossier. The dissolution dossier includes a list of creditors and the debts already paid, including debts for insurance contributions.

Basis: Law on Enterprises No. 59/2020/QH14 (amended 2022, 2025; Consolidated Text 67/VBHN-VPQH dated 15/8/2025), Article 208, Clause 5, Point a; Clause 7; Article 210, Clause 1

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Employees are entitled to be paid outstanding wages, wages for unused annual leave days, severance allowance (half a month's salary for each year of work, for employees who have worked regularly for at least 12 months) and any insurance contributions still payable. The period used to calculate severance allowance excludes the time already covered by unemployment insurance. These amounts are paid with priority when the enterprise is dissolved.

Basis: Labor Code No. 45/2019/QH14 (Consolidated Text 18/VBHN-VPQH of 2026), Article 46, Clauses 1 and 2; Article 113, Clause 3; Article 48, Clause 2; Law on Enterprises No. 59/2020/QH14 (amended 2022, 2025; Consolidated Text 67/VBHN-VPQH dated 15/8/2025), Article 208, Clause 5, Point a

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The two parties must settle all amounts in full within 14 working days from the date the labor contract ends; when the enterprise ceases operations, this period may be extended but must not exceed 30 days. The company must also complete the confirmation of the insurance contribution period and return the original documents it has kept from the employee.

Basis: Labor Code No. 45/2019/QH14 (Consolidated Text 18/VBHN-VPQH of 2026), Article 48, Clause 1, Point a; Clause 3, Point a

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The Labor Code does not set a separate notice period for the case where an enterprise ceases operations; the labor contract ends from the time the notice of cessation of operations is given. The Law on Enterprises requires the dissolution decision to include a plan for handling obligations under labor contracts and to be sent to employees within 07 working days from the date of adoption. Giving notice early and clearly helps payments and insurance confirmations go smoothly.

Basis: Labor Code No. 45/2019/QH14 (Consolidated Text 18/VBHN-VPQH of 2026), Article 45, Clauses 1 and 2; Law on Enterprises No. 59/2020/QH14 (amended 2022, 2025; Consolidated Text 67/VBHN-VPQH dated 15/8/2025), Article 208, Clauses 1 and 3

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The company is required to pay the full overdue amount plus an additional 0.03% per day calculated on the overdue amount and the number of days late, is subject to administrative penalties, and is not eligible for commendation or rewards. Failure to pay after 60 days from the due date, despite having been reminded, is treated as evasion of contributions, except where there is a legitimate reason as provided by the Government; evasion is subject to heavier measures. It is therefore advisable to deal with overdue contributions early, especially before dissolution.

Basis: Law on Social Insurance No. 41/2024/QH15 (Consolidated Text 19/VBHN-VPQH dated 12/02/2026), Article 38, Clauses 1 and 4; Article 39, Clause 1, Point đ, Clause 2; Article 40; Article 41

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Participants are provided with monthly contribution information by the social insurance authority through electronic means and may have their insurance contribution information confirmed upon request. However, the procedure for confirming the contribution period when an employee leaves is the company's responsibility, carried out in coordination with the social insurance authority. Upon dissolution, the company should handle this proactively so that employees have peace of mind.

Basis: Law on Social Insurance No. 41/2024/QH15 (Consolidated Text 19/VBHN-VPQH dated 12/02/2026), Article 10, Clause 1, Point c; Article 13, Clause 3; Labor Code No. 45/2019/QH14 (Consolidated Text 18/VBHN-VPQH of 2026), Article 48, Clause 3, Point a

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