I heard that under new regulations, even seasonal workers engaged under "collaborator contracts" are required to pay social insurance, or else penalties will apply. Is this true?
After leaving my previous job, I began collaborating with several travel agencies. Since my working hours are not fixed—as I primarily work on a per-tour basis—I do not sign standard labor contracts; instead, I sign a collaboration contract for each specific tour.
There is no agreement between the parties regarding fixed working hours or a requirement for me to work regularly for the company.
Recently, I heard from others in the industry that signing a collaboration contract can trigger an obligation for compulsory social insurance contributions, and that businesses face penalties if this is not done. This information has left me quite concerned.
I had always assumed that only those who sign standard labor contracts were subject to compulsory social insurance, whereas individuals like myself—who work on a per-tour basis and are paid per collaboration contract—were exempt.
Could you please clarify whether my situation falls under the scope of compulsory social insurance? Does the fact that the agreement is labeled a "collaboration contract" determine whether social insurance contributions are mandatory?
Reader Minh Phuc
Advice from Nguyen Truc Anh, LL.M.:
Given that social insurance agencies are currently intensifying reviews of social insurance participation across various organizations, I understand the questions and concerns you face regarding collaboration contracts with travel companies. However, to determine whether social insurance contributions are required under the 2024 Law on Social Insurance, the following factors must be clarified:
First, even if the agreement between you and the travel company is labeled differently, if the contract contains provisions regarding employment—specifically involving remuneration (wages or pay) and subjection to the management, direction, and supervision of one party—it is considered an employment contract.
Second, pursuant to Point a, Clause 1, Article 2 of the 2024 Law on Social Insurance, individuals working under employment contracts with a term of one month or longer are subject to mandatory social insurance participation.
Third, Clause 5, Article 33 of the 2024 Law on Social Insurance stipulates that for employees working under contracts with a term of one month or longer, if they do not receive wages for 14 or more working days in a given month, they are not required to pay social insurance for that month—unless the parties have agreed to make contributions based on the contribution basis used for the most recent period.
Thus, if you sign a collaboration contract with a term of less than one month, or a contract with a term of one month or longer but do not receive wages for 14 or more working days in a month, you are not required to pay social insurance for that month, unless the parties have agreed otherwise regarding social insurance contributions. In all other cases, both employees and employers are responsible for participating in compulsory social insurance. Violations will incur penalties varying by the subject and the specific act, in accordance with Decree 283/2026/ND-CP regarding administrative sanctions in the fields of labor, social insurance, and Vietnamese workers working abroad under contract (effective from September 10, 2026). Specifically:
- If an employee agrees with the employer not to participate in compulsory social insurance or unemployment insurance, or participates incorrectly regarding eligibility, contribution levels, or timelines, they shall be fined between VND 500,000 and VND 1,000,000, pursuant to Point a, Clause 2, Article 48 of Decree 283.
- If an employer fails to register—or registers an incomplete number of—employees required to participate in compulsory social insurance within 60 days of the deadline, they shall be fined between VND 5,000,000 and VND 75,000,000, depending on the number of affected employees, pursuant to Clause 2, Article 43 of Decree 283.