Can the social insurance book be canceled when the old company owes insurance?

The Law on Social Insurance, along with the Decrees and Circulars, currently do not have regulations on the social insurance book cancelation when the old company owes insurance money. But Official Letter No. 3663/BHXH-THU of the Social Security Administration of Ho Chi Minh City had instructions on canceling social insurance books as follows:

    5. In case the employee commits not to accept the process of participating in social insurance and unemployment insurance, it must be clearly stated in the application form (form D01-TS). The professional handling officer locks the data of payment of social insurance and unemployment insurance premiums with the plan of KB and KT and makes a record of book destruction in the section "Cancellation of many books". The employee's application must be approved by the Board of Directors of the district social insurance agency or the leader of the city's social insurance collection department to replace the recall book. In special cases where it is necessary to restore the process of locking KB and KT method, it can only be done with the approval (where the data was previously locked) of the Board of Directors of the district social insurance agency or the leader of the department. capacity of the City and in accordance with the procedure for recovering canceled book numbers.

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Therefore, employees who want to cancel their social insurance books must commit not to participate in social insurance and unemployment insurance for the previous period.

In fact, commitment is not enough because the social insurance agency will verify whether the employee really does not participate in social insurance at the time of requesting cancellation.

In case the employee goes to work, signs a labor contract and pays social insurance premiums according to regulations, the social insurance agency will not handle the request to cancel the process of paying social insurance for that person.

Therefore, employees are still forced to carry out the procedure of grouping books to enjoy all benefits from the social insurance fund.