VI When an employment relationship comes to an end, completing all outstanding administrative procedures is a fundamental obligation of the employer. Among these procedures, closing the Social Insurance (SI) book is one of the most important steps. The SI book not only serves as a record of an employee’s contribution history but also acts as a key document enabling the employee to access various social security benefits, such as unemployment benefits and lump-sum social insurance payments.
To help organizations and HR departments carry out this procedure accurately, efficiently, and in compliance with the law, Pham Consult provides an overview of the latest regulations and procedures for closing social insurance books.
I. Responsibility for Closing the Social Insurance Book
A Social Insurance (SI) book is issued to each employee and contains basic personal information, records of contributions and benefits received under the social insurance system, and other relevant information. SI books may be issued in electronic or paper form, both of which have equal legal validity.
Closing an SI book refers to the process whereby the social insurance authority confirms an employee’s participation period in social insurance, unemployment insurance, and other compulsory insurance schemes when the employee ceases contributing through a particular employer.
According to Clause 3, Article 48 of the 2019 Labor Code, employers are responsible for completing procedures to certify the employee’s period of participation in social insurance and unemployment insurance and returning all original documents retained from the employee upon termination of employment. In addition, Clause 3, Article 13 of the 2024 Law on Social Insurance stipulates that employers must coordinate with the social insurance authority in certifying employees’ contribution periods when labor contracts, employment contracts, or employment relationships are terminated in accordance with the law.
Pursuant to Article 48 of the 2019 Labor Code, within 14 working days from the date of termination of the labor contract, the employer must complete procedures for certifying the employee’s participation in social insurance and unemployment insurance and return any original documents held by the employer. This period may be extended but must not exceed 30 days in the following circumstances:
- The enterprise ceases operations.
- The enterprise undergoes restructuring, technological changes, or faces economic difficulties.
- The enterprise is divided, separated, consolidated, merged, sold, leased, converted into another business form, or transfers ownership or usage rights of its assets.
- The delay is caused by natural disasters, fires, hostile acts, or dangerous epidemics.
Certification of the SI book means confirming the periods during which social insurance (SI), unemployment insurance (UI), occupational accident insurance, and occupational disease insurance contributions have been fully accounted for and allocated by the social insurance authority.
Accordingly, the responsibility for closing the SI book rests with the employer.
Employers must record and certify employees’ participation periods in SI, UI, occupational accident insurance, and occupational disease insurance as follows:
- Information recorded in the SI book must fully reflect each contribution period corresponding to the employee’s salary level and working conditions, including periods during which the employee did not work and did not receive salary for 14 working days or more in a month, such as sick leave, maternity leave, unpaid leave, or suspension of the labor contract.
For employers with overdue SI, UI, occupational accident insurance, or occupational disease insurance contributions, if an employee becomes eligible for social insurance benefits or terminates employment, the employer must pay all outstanding contributions, including late payment interest as prescribed by law. The social insurance authority will then certify the SI book to ensure timely settlement of the employee’s social insurance and unemployment insurance benefits.
If the employer has not fully paid the required contributions, the social insurance authority will certify the SI book only up to the period for which contributions have been fully paid. Once the outstanding amounts are collected, the authority will provide supplementary certification of the employee’s contribution period.
II. Procedure for Closing the Social Insurance Book
Step 1: Report Employee Reduction in Social Insurance Participation
The employer must fully pay SI, UI, occupational accident insurance, and occupational disease insurance contributions and submit an employee reduction dossier through Electronic Dossier No. 600 to the social insurance authority managing the enterprise’s registered head office.
Note:
- Employee reduction reports should be submitted promptly on a monthly basis and should not be postponed until the end of the month.
- Employers may submit no more than three dossiers per month (except in special circumstances).
- Insurance contributions must be paid no later than the last day of the month.
Step 2: Carry Out the Social Insurance Book Closure Procedure
Case 1: SI Book Has Been Reviewed and Returned to the Employee
Based on the employee reduction dossier, the social insurance authority will certify the employee’s participation period and issue a separate confirmation sheet reflecting SI, UI, occupational accident insurance, and occupational disease insurance contributions up to the last fully paid period. This document will be returned to the employer for delivery to the employee.
Case 2: SI Book Has Not Yet Been Reviewed by the Social Insurance Authority
In this case, the social insurance authority will not certify participation records based solely on Electronic Dossier No. 600. The employer must submit a paper dossier under Receipt Form (PGNHS) No. 626 together with the employee’s SI book via postal service to the social insurance authority for review, data updating, certification, and issuance of the corresponding confirmation sheet.
Case 3: Employer Has Outstanding Insurance Debts
If the employer still owes insurance contributions at the time of submitting the employee reduction dossier, the social insurance authority will certify the SI book only up to the period for which contributions have been fully paid. After the employer settles all outstanding debts, it must submit a List Requesting Supplementary Certification of SI, UI, Occupational Accident Insurance, and Occupational Disease Insurance Contribution Periods (without resubmitting the SI book) under PGNHS No. 620 so that the social insurance authority can issue an additional confirmation sheet.
Adjustment of Contribution Records
For dossiers requesting adjustments to SI or UI contribution records:
- Employers only need to submit Electronic Dossier No. 600 for employees who are currently participating in insurance through the enterprise. The social insurance authority will adjust the electronic data without issuing a new confirmation sheet.
- For employees who have already resigned and whose SI books have been closed and certified, employers must submit a paper dossier under Form No. 609 together with the SI book so that the social insurance authority can issue a revised confirmation sheet reflecting the corrected contribution history.
