When markets swing sharply — orders falling, supply chains breaking — an FDI enterprise faces the choice between cutting staff or finding support mechanisms to keep people. Current law has three layers of job-retention support: preferential loans to pay wages and maintain production under the employment policy of the Employment Law 74/2025/QH15; training and upskilling support for employees from the unemployment insurance fund; and suspension of social insurance contributions to the retirement and survivorship fund for up to 12 months under Article 37 of the Social Insurance Law 41/2024/QH15 where the enterprise in difficulty must suspend production and business. This article sets out the conditions and files of each layer so the enterprise chooses the right tool for its level of difficulty.
First layer: preferential loans to maintain jobs
The Employment Law 74/2025/QH15 places job creation and retention support within the national employment policy framework, in which preferential loans through the Bank for Social Policies are the most direct cash tool for an enterprise in temporary difficulty: loan funds are used to pay wages, pay insurance for employees and maintain production during the order downturn, in exchange for the enterprise’s commitment to maintain the workforce under an appraised plan. An enterprise in need should work early with the local Bank for Social Policies and the labour authority for guidance on the loan package applying at the time of request, because limits, preferential rates and loan terms are set by the specific programme of each period.
The core conditions of the job-retention loan channel are: the enterprise faces genuine difficulty from market shocks (evidenced by documented revenue and order declines); it has a feasible capital-use plan and job-retention plan for the workforce committed to be retained; it is not under bankruptcy proceedings or holding overdue debts it cannot repay at credit institutions; and it has fully performed labour registration and social insurance obligations up to the request date. The loan file must therefore prove both sides simultaneously: the difficulty and the ability to maintain jobs after borrowing.
Second layer: training support from the unemployment insurance fund
Clause 1 Article 30 and Article 31 of the Employment Law 74/2025/QH15 define the unemployment insurance regimes, including support for training, fostering and improving vocational skills of employees — a tool designed exactly for the phase where the enterprise cuts hours but wants to keep people: instead of terminating, the enterprise retrains (skill conversion, new line operation, digital skills) and receives training cost support from the unemployment insurance fund at prescribed levels and conditions, provided the employees are unemployment insurance participants and the enterprise has a training plan tied to post-training job retention.
This layer suits temporary structural difficulty best — for example a product transition period or waiting for new orders — because it turns idle time into upskilling time while preserving the employment relationship and employees’ insurance seniority. The enterprise files the training support request at the local labour authority with the training plan, the list of participating employees and the commitment to arrange jobs after training.
Third layer: suspending SI contributions for up to 12 months under Article 37 of the Social Insurance Law 41/2024
Article 37 of the Social Insurance Law 41/2024/QH15 provides that where an employer in difficulty must suspend production and business, leading to inability to pay social insurance, it may suspend contributions to the retirement and survivorship fund for up to 12 months; at the end of the suspension, the enterprise pays make-up contributions for the suspended period under the guidance of Article 10 of Decree 158/2025/ND-CP and Article 9 of Decree 157/2025/ND-CP. Two points must be understood correctly: the suspension covers only the retirement and survivorship fund — short-term funds (sickness, maternity, occupational accidents and diseases), health insurance and unemployment insurance continue to be paid normally; and suspension is cash-flow deferral, not exemption — the suspended amounts must later be paid in full.
The condition ‘must suspend production and business’ is a higher threshold than ordinary difficulty: the enterprise must prove actual suspension of operations and inability to pay, through financial files, the suspension decision and confirmation by the competent authority under the guided procedure. An enterprise with only partial order reduction still producing normally usually does not meet this condition and should use the other two layers. During suspension of retirement and survivorship contributions, employees’ entitlements are preserved through the make-up mechanism, but the enterprise must notify employees transparently and agree in writing where needed.
Files and procedure: where to apply, what to prepare
Each layer has its own receiving door: job-retention loans through the Bank for Social Policies where the enterprise operates (with labour authority confirmation); training support from the unemployment insurance fund and confirmation of conditions for suspending social insurance through the provincial labour authority (Department of Home Affairs) and the managing social insurance agency. The common file for all three channels comprises: a request letter stating the market-shock difficulty; financial statements and evidence of decline (cancelled orders, reduced revenue); the list of employees proposed for job retention with their insurance status; and the corresponding job-retention, training or make-up contribution plan.
The effective practice order is to assess the level of difficulty before choosing the tool: short-term cash-flow difficulty with production continuing — prioritise loans and training support; difficulty severe enough to suspend production — only then consider suspending social insurance, because its conditions are strict and the make-up obligation follows. Enterprises should also note the link between channels: a clean labour registration and social insurance file with no prolonged arrears is a near-mandatory prerequisite of every support programme.
Frequently Asked Questions
What support can an enterprise in difficulty from market shocks receive to maintain jobs?
Three layers: preferential loans through the Bank for Social Policies to pay wages and maintain production under the employment policy of the Employment Law 74/2025/QH15; training and upskilling support for employees from the unemployment insurance fund; and suspension of contributions to the retirement and survivorship fund for up to 12 months under Article 37 of the Social Insurance Law 41/2024/QH15 if production and business must be suspended.
What are the conditions for preferential loans to pay wages and maintain jobs under the 2025 Employment Law?
The enterprise must prove genuine difficulty from market shocks (documented revenue and order declines), have a feasible capital-use and job-retention plan for the workforce committed to be retained, not be under bankruptcy or hold irrecoverable overdue debts, and have fully performed labour registration and social insurance up to the request date. Limits and rates follow the specific programme at the time of borrowing.
In which cases does SI contribution suspension apply, and for how long at most?
Under Article 37 of the Social Insurance Law 41/2024/QH15: an employer in difficulty that must suspend production and business, leading to inability to pay, may suspend contributions to the retirement and survivorship fund for up to 12 months. Short-term funds, health insurance and unemployment insurance are still paid normally; at the end of the suspension the full suspended period must be made up.
Where is the job-retention support file submitted, and what does it comprise?
Loans at the Bank for Social Policies where the enterprise operates; training support and SI suspension through the provincial labour authority and the managing social insurance agency. The file comprises a request letter, financial statements and evidence of order/revenue decline, the list of employees for job retention with insurance status, and the corresponding retention, training or make-up plan.
FLAT Law Firm builds job-retention packages during market shocks
FLAT supports FDI enterprises in designing job-retention packages during market shocks: preferential loans, UI-fund training support and SI suspension files under Article 37 of the Social Insurance Law 41/2024/QH15.
This article has been quality-reviewed by the FLAW AI Legal Council