At 3.30 a.m. on Wednesday, more than 50 people had already gathered in front of the company’s office building, waiting for it to open at 7.30 a.m.
They all wanted to withdraw their social insurance premiums, as Vietnamese law allows those who have been unemployed for a year to cash out all at once. The applicant then receives the funds seven days after submitting the request.
Some people laid out their raincoats on the ground to sleep. Queuers wrote their names on a piece of paper according to the queuing order to ensure order.
HCMC social insurance authorities said that there have been overloads of people trying to cash out at their facilities in District 12, Hoc Mon District and Thu Duc City recently.
At least 41,500 have lost their jobs in 44 localities since the middle of this year, according to the Vietnam General Confederation of Labour.
Vo Truong Son, 41, brought water and snacks with him and waited since 11 p.m. Tuesday.
As a blue-collar worker Son lost his job due to Covid-19.
“I’ve been here three times at around 3 to 5 p.m., but all the waiting coupons have been claimed, so today I came early to submit my application.”
Huong, 36, ate bread while waiting.
She lost her job a year ago. Recently, she found a new job but was fired soon after because the company did not have enough orders.
“Few places recruit people above 35-years of age so I am withdrawing my premiums to fund a small shop in the countryside.”
Vo Thi Hoang Linh brought food to her mother who was queuing for her place. Linh quit her job as a teacher after 13 years. She and her mother took turns waiting in line starting at 2 a.m.
Le Van Thanh, 39, started queuing at 3 a.m. He used to work for a company that manufactures elevators, but the firm folded last year.
“My savings are all gone, I need this withdrawal to take care of my children.”
Social insurance accounts for at least 22% of the average Vietnamese workers’ income. The employee pays 8% and the company pays 14%.
For a one-time withdrawal, a worker receives from 1.5-month to 2-month premiums for every year he or she has worked.
This is a lower rate than keeping the premium until retirement, which will give the worker 2.64-month for every working year.
Before 2021, the retirement age was regulated at 55 for women and 60 for men. Starting last year, Vietnam has gradually increased the retirement age until it reaches 60 years for women by 2035 and 62 for men by 2028.