Unemployment benefit (depending on the jurisdiction also called unemployment insurance or unemployment compensation ) is a payment made by the state or other authorized entity to the person idle. In the United States, benefits are funded by a compulsory government insurance system, not a tax for individual citizens. Depending on the jurisdiction and status of the person, the amount may be small, cover only basic needs, or may compensate for the lost time in proportion to the salary previously earned.
Unemployment benefits are generally provided only to those who register as unemployed, and often under conditions to ensure that they are looking for a job and currently have no job, and are validated as dismissed and not fired for reasons in most states.
In some countries, most unemployment benefits are distributed by the union, a setting known as the Ghent system.
Video Unemployment benefits
Histori
The first unemployment benefit scheme was introduced in the UK with the 1911 National Insurance Act under the Liberal H. H. Asquith government. Popular measures are to combat the increasing influence of the Labor Party among the working class population in the country. The law provides the UK working class system of insurance contributions to illness and unemployment. This applies only to wage earners, however, and their families and unnecessary ones must rely on other support sources, if any. Key figures in the implementation of the Act include Robert Laurie Morant, and William Braithwaite.
At the time of its implementation, the benefits were criticized by the communists, who considered such an insurance would prevent workers from starting a revolution, while businessmen and firms view it as "necessary crime".
The scheme is based on actuarial principles and is funded by a fixed amount each from workers, employers, and taxpayers. It is restricted to certain industries, especially the more stable ones such as shipbuilding, and makes no provision for any dependents. After one week of unemployment, workers are eligible to receive 7 shillings/weeks to 15 weeks of the year. In 1913, 2.3 million people were insured under the scheme for unemployment benefits.
Expand and share
The Unemployment Insurance Law of 1920 created a payment system for unemployed workers. The charity system provides 39 weeks of unemployment benefits to more than 11 million workers - the practice of all civilians working except domestic workers, agricultural workers, railway men, and civil servants.
Unemployment benefits were introduced in Germany in 1927, and in most European countries in the period after the Second World War with the expansion of the welfare state. Unemployment insurance in the United States originated in Wisconsin in 1932. Through the Social Security Act of 1935, the United States federal government effectively encouraged individual states to adopt unemployment insurance plans. Argentina
In Argentina, successive administrations have used passive and active labor market interventions to protect workers from the consequences of economic shocks. The main government institutional response to combat the rising poverty and unemployment created by the crisis is the launch of an active unemployment aid program called Jefas y Jefes de Hogar Desocupados (Program for Head of Household Work).
Maps Unemployment benefits
Australia
In Australia, social security benefits, including unemployment benefits, are funded through the tax system. No compulsory national unemployment insurance fund. Instead, benefits are funded in the annual Federal Budget by the National Treasury and administrated and distributed throughout the country by a government agency, Centrelink. The rate of benefits is indexed to the Consumer Price Index and adjusted twice a year according to inflation or deflation.
There are two types of payments available to those who are unemployed. The first, called Youth Allowance, is paid to young people aged 16-20 (or 15, if it meets the criteria to be considered 'independent' by Centrelink). Youth Allowance is also paid to full-time students aged 16-24, and to full-time Australian interns aged 16-24. People under 18 who have not completed their senior high school education are normally required to undergo full-time education, internships or training to qualify for Youth Benefits. For single people under the age of 18 living with parents or parents, the basic rate is A $ 91.60 per week. For ages over 18 to 20 years living at home, this increases to A $ 110.15 per week. For those aged 18-20 years who do not stay home, the charge is A $ 167.35 per week. There are special rates for couples and/or children.
The second type of payment is called Newstart Allowance and is paid to an unemployed person over the age of 21 and under the age of the pension guarantee. In order to receive a Newstart payment, the recipient must be unemployed, be prepared to enter into the Work Line Plan (formerly called an Event Agreement) whereby they agree to engage in certain activities to increase their chances of employment, become Australian citizens and meet income tests (which limits weekly earnings to A $ 32 per week before benefits begin to decrease, until a person earns A $ 397.42 per week where no unemployment benefit points are paid) and asset test (qualified recipients can have assets of up to A $ 161,500 if he owns a home before the allowance starts to decrease and $ 278,500 if he does not own a home). The rate of Newstart allowances on January 12, 2010 for single persons without children is A $ 228 per week, paid every two weeks. (This does not include additional payments such as Rent Assistance.) Different rates apply to people with spouses and/or children.
Effectively, people have to survive by $ 39 a day from Newstart since 1994, and there are calls to raise this issue by politicians and NGO groups (https://www.9news.com.au/national/2018/05/09/14/31/john-howard-joins-calls-for-newstart-boost)
Systems in Australia are designed to support recipients no matter how long they have been unemployed. In recent years, the former Coalition government under John Howard has stepped up the terms of the Activity Agreement, providing controversial schemes such as Work for the Dole, which requires people with benefits of 6 months or more to work voluntarily for community organizations regardless of whether such work it improves the skills or prospects of their work. Since the Labor government under Kevin Rudd was elected in 2008, the length of unemployment before a person is required to meet the terms of the Activity Agreement (which has been renamed the Job Line Plan) has increased from six to twelve months. There are alternatives available as alternatives to the Work for the Dole scheme, such as performing part-time or study and training work, the basic premise of the Work Line Plan is to keep welfare recipients active and engaged in finding full-time employment..
For people who rent their accommodation, unemployment benefits plus Rent Assistance, which, for single people on June 29, 2012, begin to be paid when the weekly rent is over A $ 53.40. Rent Assistance is paid as a proportion of the total rent paid (75 cents per dollar paid over $ 53.40 to maximum). The maximum amount of the lease payable is A $ 60.10 per week, and is payable when the total weekly rent exceeds A $ 133.54 per week. Different rates apply to people with partners and/or children, or who share accommodation.
External links
- Centrelink website
- The Human Services Department website
Canada
In Canada, the system now known as Employment Insurance was previously called Unemployment Insurance. The name was changed in 1996, to reduce the perceived negative connotation. By 2015, Canadian workers pay a premium of 1.88% of the insured income in exchange for benefits if they lose their jobs.
The Labor and Social Insurance Act was passed in 1935 during the Great Depression by the government of R.B. Bennett as a Canada unemployment insurance program is tried. It was, however, decided unconstitutional by the Supreme Court of Canada as unemployment assessed to be a matter of insurance falling under the responsibility of the province. After a constitutional amendment was approved by all provinces, a reference to "Unemployment Insurance" was added to matters falling under the federal authority under the Constitution Act, 1867, and the first Canadian system was adopted in 1940. Due to this problem Canada was a Western country the latter that brings the employment insurance system. This extended dramatically by Pierre Trudeau in 1971 made it easier to obtain. This system is sometimes called 10/42, because one has to work for 10 weeks to benefit over the other 42 weeks of the year. It was also in 1971 that the UI program was first opened for the benefit of pregnancy and illness, for 15 weeks in each case.
The generosity of Canada's UI program diminished after the adoption of the 1971 UI Act. At the same time, the federal government gradually reduced its financial contribution, eliminating it entirely in 1990. The EI system was again trimmed by the Progressive Conservative in 1990 and 1993, then by the Liberals in the year 1994 and 1996. Amendments make it more difficult to qualify. by increasing the time it takes to do, although the seasonal plaintiff (who worked long hours in a short period of time) apparently benefited from his successor, in 1996, from week to hour to qualify. The ratio of beneficiaries to unemployment, having stood at around 40 percent over the years, rose slightly during the 2009 recession but then fell back to the low 40s. Some unemployed people are not covered for benefits (eg self-employed workers), while others may have run out of benefits, have not worked long enough to qualify, or have stopped or been discharged from their jobs. The length of time EI can take has also been cut repeatedly. Changes in 1994 and 1996 contributed to a sharp decline in Liberal support in the Atlantic provinces in the 1997 elections.
In 2001, the federal government increased parental leave from 10 to 35 weeks, which added to an existing birth allowance of 15 weeks. In 2004, it allowed workers to take EI for compassionate care leave while caring for dying relatives, even though the strict conditions imposed made little benefit used. In 2006, the Province of Quebec voted out of the federal EI scheme with respect to maternity, parent and adoption benefits, to provide more benefits to all workers in the province, including self-employed workers. Total EI spending was $ 19,677 billion for 2011-2012 (figures in Canadian dollars).
Employers accounted for 1.4 times the amount of employee premiums. Since 1990, there has been no government contribution to this fund. The amount a person receives and how long they can stay in the EI varies with their previous salary, how long they work, and the unemployment rate in their area. The EI system is managed by Service Canada, the delivery service network reports to Canada's Ministry of Employment and Social Development.
Slightly more than half of the EI benefits are paid in Ontario and the Western provinces but the EI is very important in the Atlantic province, which has a higher unemployment rate. Many Atlantic workers are also employed in seasonal jobs such as fishing, forestry or tourism and go to EI during the winter when there is no job. There are special rules for fishermen to make it easier for them to collect EI. EI also pays maternity leave and parents, loving care leave, and disease coverage. The program also pays for retraining courses (EI Part II) through labor market agreements with Canadian provinces.
Significant sections of the federal fiscal surplus Jean ChrÃÆ' © tien and Paul Martin years derived from the EI system. Premiums are subtracted far less than falling expenditures - generating, from 1994 onward, the EI surplus of several billion dollars per year, added to general government revenues. The cumulative EI surplus reached $ 57 billion as of March 31, 2008, nearly four times the amount needed to cover the extra costs paid during the recession. This has drawn criticism from Opposition parties and from business and labor groups, and remains an issue of repeated public debate. The Conservative Party chose not to recognize the EI surplus after it was elected in 2006. Instead, the Conservative government canceled the full EI surplus in 2010, and required EI contributors to make annual deficits 2009, 2010 and 2011 by increasing EI premiums. On December 11, 2008, the Supreme Court of Canada rejected the challenge of a trial launched against the federal government by two unions in Quebec, who argued that EI funds had been abused by the government.
External links
- [2] History of UI in Canada, since the 1930s
- [3] Canadian Government Site for EI
- [4] Government of Canada Website for Maternity Benefits and Parents
- [5] Library of Parliament publications on EI premium
- CBC Digital Archive - On The Dole: Employment Insurance in Canada
China
The level of benefits is set between minimum wage and minimum living allowance by each province, autonomous region and city.
Denmark
European Union
Each EU Member State has its own system and in general a worker must claim unemployment benefits in the country where they worked last. For someone working in a country other than their country of residence (cross-border workers), they must claim benefits in their country of residence. More specific rules and information is available on your European portal.
Finnish
Two systems run in parallel, incorporating the Ghent system and the minimum level of support provided by Kela, an agency of the national government. High union rates (70%), and union membership come with membership in unemployment funds. In addition, there are union unemployment funds. Usually benefits require 26 weeks on average 18 hours per week, and unemployment benefit is 60% of salary and lasts for 500 days. When this is not available, Kela can pay regular unemployment benefits or labor market subsidy allowances. The first requires a degree and two years of full-time employment. The latter requires participation in training, education, or other employment support, which may be mandated to the pain of loss of benefits, but may be paid once ordinary benefits have been maximized or unavailable. Although unemployment funds handle payments, most of the funds come from taxes and taxes on unemployment insurance that are taxpayers.
Regardless of whether the benefits paid by Kela or from unemployment funds, unemployed persons receive help from TyÃÆ'¶- ja elinkeinokesk ( TE-marsh , or "Work and Livelihood Center") , a government agency that helps people find jobs and entrepreneurs to look for workers. In order to be considered idle, seekers must enroll in TE-keskus as unemployed. If a job seeker does not have a degree, the agency may request a job seeker to enroll in a school.
If the individual is not eligible for unemployment benefits, he or she may still be eligible for housing benefits ( asumistuki ) of Kela and the social welfare provisions of the city ( toimeentulotuki ). They are not unemployment benefits and dependent on household income, but they are in practice the basic income of many long-term unemployed.
French
France uses the Ghent quasi system, where unemployment benefits are distributed by an independent agency (UNEDIC) in which trade unions and employers' organizations are equally represented. UNEDIC is responsible for 3 benefits: ARE, ACA and ASR The main ARE scheme requires a minimum of 122 days membership in the previous 24 months and certain other requirements before a claim can be made. Employers pay contributions above their employee's pretax income, which, together with employee contributions, fund the scheme.
Maximum unemployment benefits (as of March 2009) 57.4% of EUR 162 per day (Limit on social security contributions in 2011), or 6900 euros per month. Applicants receive 57.4% of their average daily salary from the last 12 months before unemployment with an average amount to 1,111 euros per month. In France taxes and other payroll taxes are paid for unemployment benefits. In 2011 the complainants received an average allowance of 291 days.
German
Germany has two different types of unemployment benefits.
My unemployment benefits
The unemployment benefit I in Germany is also known as unemployment insurance. This insurance is administered by a federal employment agency and is funded by the contributions of employees and employers. This is in stark contrast to FUTA in the US and other systems; in which only the boss contributes. Participation (and thus contribution) is generally mandatory for employees and employers.
All workers with regular employment contracts ( abhÃÆ'¤ngig BeschÃÆ'¤ftigte ), except casual workers and certain civil servants (Beamte ), contribute to the system. Since 2006, some workers who were previously excluded have been able to participate in the system voluntarily.
The system is funded by contributions from employees and employers. Employees pay 1.5% of their gross salaries below the social security threshold and employers pay a 1.5% contribution above the salaries paid to employees. The contribution rate is reduced from 3.25% for employees and employers as part of the labor market reform known as Hartz. Contributions are paid only on income to the limit of social security (2012: 5,600 EUR).
The system is largely self-funded but also receives subsidies from the state to run job seekers.
Unemployed workers are entitled to:
- The living allowance known as unemployment benefits
- Help in finding jobs
- Training
Unemployed earnings are paid to workers who have contributed for at least 12 months before losing their jobs. The allowance is paid half of the period that workers have contributed. Applicants earn 60% of their previous wages (restricted to social security limits), or 67% for plaintiffs with children. The maximum benefit is 2964 Euros (in 2012). In 2011, the Federal Employment Agency has revenues and expenses of EUR 37.5 billion
Following changes in effective German law since 2008, provided that their employment history is eligible, beneficiaries aged 50 to 54 now receive unemployment benefits for 15 months, 55 to 57 for 18 months and those aged 58 or over receiving benefits for 24 months month. For those under 50 who have not worked for more than 30 months in work that pays social security schemes, full unemployment benefits are acceptable for a maximum period of 12 months. Notice how the duration of varying feasibility in Germany to account for the difficulties of older people has reentered the labor market.
2nd unemployment benefit
If a worker is not eligible for full unemployment benefits or after receiving full unemployment benefits for a maximum of 12 months, he or she may benefit from the so-called Arbeitslosengeld II program (Hartz IV), an open welfare program that ensures people do not fall into poverty. Someone who receives a Hartz IV allowance is paid 404 EUR (2016) a month for living expenses plus decent housing costs (including heating) and health care. Couples can receive benefits for every couple including their children. In addition, children can get "benefits for education and participation". Germany does not have an EBT card system (electronic benefit transfer) and, on the other hand, delivers welfare in cash or by direct deposit to the beneficiary bank account. The person receiving Hartz 4 is required to find a job and can be forced to take part in a social program or a Mini job to receive this Hartz 4 money. Most of these Mini programs and jobs require employees to work on the same hour as a normal full time job every day, 5 days a week.
Greek
Unemployment benefits in Greece are managed through ???? (Greek: ?????????????????????????????????????????????????????????????????????????????????????? Employment Employment Organization) and is available only to workers hired by workers with full employment and social security payments over the previous two years. Entrepreneurs are not eligible, nor are they those with other sources of income. Monthly benefits are set at "55% of 25 minimum daily wages", and currently 360 euros per month, with a 10% increase for every minor. The recipient is eligible for a maximum of twelve months; the exact duration depends on the number of collected enema ?????? , which is a social security payment coupon collected (ie weekdays) for 14 months before dismissal; The minimum amount of the coupon, below which there is no eligibility, is 125, collected in the first 12 of the 14 months previously mentioned. The eligibility since January 1, 2013, has been increasingly restricted in that case, applying for unemployment benefits for a second or more of time, should not receive more than 450 days of such benefits over the last four years since the last time a person has begun receiving such benefits that; if a person has received unemployment benefits in this period for more than 450 days then there is no temporary eligibility if a person has received less, then one is only eligible for the most remaining days until a maximum of 450 days is reached.
In terms of unemployment benefits, Greece allows for those found in unemployment, employed through independent professions, to receive benefits if their final salary does not exceed a certain amount, the current rate should not exceed EUR 1,467.35. When receiving benefits, a person can not make money from the entrepreneurial profession. If income increases the fixed amount, the tax authority must issue a certificate explaining that the individual has "interrupted the professional execution", which must be done within 15 days. Unemployment benefits are also granted to those who have generated income that does not exceed EUR1,467.35 from the final salary received from the liberal profession. In order to receive a grant, an individual may not receive income from a previous liberal profession. Under the European Commission, the liberal profession is a profession that requires special training and is governed by a "national government or professional body". Seasonal assistance is also provided to workers whose work can not be done throughout the year is also benefited by OAED.
Under OAED, individuals who benefit from long-term unemployment must be aged between 20 to 66 years and have family income that does not exceed EUR 10,000 per year. A person becomes eligible for long-term benefits if regular unemployment subsidies run out after 12 months. After the end of the 12 month period, applications for long-term unemployment benefits must be submitted within the first 2 months. If an unemployed person seeks long-term unemployment and has a child, the allowance is allowed to increase by EUR 586.08 (per child). Long term unemployment can only be granted if an individual can be found registered under the OAED unemployment registrar.
Iceland
To receive unemployment benefits in Iceland, one must apply to the Directorate of Labor ( VinnumÃÆ'¡lastofnun ) and meet the specific criteria established by the department. Iceland's employment rate is traditionally higher than any other OECD country. In the latest financial quarter, 85.8 percent of the working-age population of Iceland is employed, with only 2.8 percent of the population unemployed. When broken down by age group, Iceland's workforce is very active, with 74.9 percent of the population between the ages of 15 to 24 and 89.4 percent of people aged between 25 to 55 years active in the labor market. This low unemployment rate is associated with the adoption of the Ghent system, which has been adopted by Danish, Finnish and Swedish countries, and strongly emphasizes trade unions and laborers to provide unemployment benefits and protection for workers, which has ultimately led to higher union membership than any other capitalist economy. The safety net provided by the union also leads to more stable job retention and less dependent on part-time work. Only 11.9 percent of the working population depends on temporary employment.
Unlike the pure socio-democratic countries of Europe, the Nordic adopted Nordic model borrows the good aspects of the social-democratic and liberal-welfare state. Iceland not only sees high government involvement in providing social welfare and ammunition as with the socio-democratic model, but like the liberal welfare model, Iceland is also heavily dependent on free trade and markets. The country relies on an open capitalist market for economic growth, but it also includes a corporate system that allows for wage bargaining between the workforce and employers to protect workers and ensure conditions such as unemployment benefits are guaranteed. Currently, the law that guarantees this benefit is the Trade Unions and Industrial Relations Disputes Act, adopted in 1938 and has been amended five times from the beginning to conform with the emergence of globalization. In Section 1, Sections 1-13 provide trade unions the right to organize and negotiate with employers about fair wages for their members and representation for their members in the event of a conflict in the workplace. These rights to organized unions set by the Ministry of Welfare not only provide a fair and equal representative state workforce in their respective industries but also enable these organizations to maintain an active relationship with the Icelandic government to discuss economic issues, work and social equity, and ensuring benefits for unemployed workers, since the union is highly centralized and not politically affiliated.
Unemployment benefits in Iceland ( atvinnuleysisbÃÆ'Â|tur ) may involve the replacement of up to 100 percent per month for wage earners for a maximum of 30 months. However, this rate of reimbursement is determined by previous employment status, such as whether a person is a breadwinner or self-employed, and fulfills certain mandates such as being a current Iceland resident, actively seeking employment, and maintaining a 25 percent position for three months in the last 12 months before filing unemployment. Unemployed workers can be compensated through basic benefits or related income. Basic unemployment benefits may include both low-income and self-employed individuals during the first half of the month (10 days) after they lose their jobs, while income-related benefits may include low-income individuals and self-employment for up to three months based on the index salary and length of service. However, unemployed people should report to the Directorate of Labor once a month to reaffirm their unemployment status and that they are actively seeking employment or unemployment benefits may be revoked. Under the Employment Act of Iceland, employees should be granted term of dismissal which may range from 12 days to six months and is determined by the length of previous employment under the same employer.
ireland
Persons aged 18 and above and who are unemployed in Ireland can apply for Jobseeker Benefits ( LiÃÆ'Â º º doas Lucht Cuardaigh FostaÃÆ'Âcarta ) or Job Seekers Benefits ( Sochar do Lucht Cuardaigh FostaÃÆ'ochta ). Both are paid by the Department of Social Protection and dubbed "alms".
Unemployment benefits in Ireland can be claimed indefinitely as long as the individual remains unemployed. The standard payment is EUR193 per week for those aged 26 and over. For those aged 18 to 24, the rate is EUR100 per week. For those who are 25 weeks old, the charge is EUR144. Payments can be increased if unemployment has dependents. For each dependent adult, another EUR124.80 is added, EUR100 if the recipient (as opposed to who depends) is aged 18 to 24, and for every child dependent EUR29.80 added.
There are more benefits available to unemployed people, usually specifically or specifically. Benefits include Additional Leases , Additional Mortgage Interest and Fuel Allowance , among others. Low-income people (including those on JA/JB) are eligible for a Medical Card (although this must be applied separately from the Healthcare Executive) providing free health care, optical care, limited dental care, aural care and prescription drugs carrying EUR2. 50 per item cost to the maximum monthly contribution of EUR25 per household (compared to subsidized services such as non medical card holders).
To qualify for Jobseeker Benefits, plaintiffs must meet "Habitual Residence Conditions": they must have been legally in the state (or Joint Travel Area) for two years or have other good reasons (such as living abroad and returning to Ireland after being unemployed or deported). This condition does not apply to Benefit Employee Benefits (which is based on Social Insurance payments).
More information about any benefits can be found here:
- Jobseeker Allowance
- Jobseeker Benefits.
Israel
In Israel, unemployment benefits are paid by Bituah Leumi (National Insurance Institute), where workers have to pay dues. Eligible workers must immediately register to the Employment Services Bureau after losing their jobs or performing a jeopordization of their eligibility, and the unemployment period is considered to commence upon registration with the Employment Services Bureau. In order to qualify for unemployment benefits, an employee must complete a "qualifying period" of employment where the contribution of unemployment insurance is paid, which varies between 300 and 360 days. Employees who are unceremoniously discharged from their employment or who terminate their own employment and can provide evidence of having done so for justifiable reasons are entitled to immediately receive unemployment benefits, while those who are deemed to have terminated their work of their own volition without justification will only begin receiving 90-day unemployment benefits from the start of their unemployment period.
Unemployment benefits are payable on a daily basis, with amounts calculated based on previous income from employees over the last six months, but not exceeding the daily average wage during the first 125 days of payments and two thirds of the daily average wage from the 126th day onwards. During the unemployment period, the Employment Services Bureau helps to find suitable employment and job training, and regularly reporting to the Employment Services Bureau is a condition of continuing to receive unemployment benefits. A person offered a job or proper training by the Employment Service Bureau but refuses will only receive unemployment benefits 90 days after the date of rejection, and a 30-day unemployment benefit will be reduced for each subsequent refusal.
Kibbutzim and behavioral members are usually not covered by the national unemployment system and are protected by the social welfare system of the community itself, unless they are employed outside of their community or directly by the community.
Italy
Unemployment benefits in Italy consist mainly of cash transfers based on contributions ( Assicurazione Sociale per l'Impiego, ASPI ), up to 75 percent of the previous wages up to sixteen months. Other steps are:
- Redundancy Fund ( Cassa integrazione guadagni , or CIG): cash benefits provided as shock absorbers for suspended workers or who work only for reduced time due to difficulties while factories they, aimed at helping factories in financial trouble, by relieving them of unused labor costs
- Solidarity Contracts ( Contratti di solidarietÃÆ' ): in the same case provide CIG benefits, companies may sign contracts with fewer working hours, to avoid dismissal of unemployed workers. The state will give the workers 60 percent of the lost share of wages.
- Mobility allowances ( IndennitÃÆ' in mobilitÃÆ' ),: if the Pension Fund does not allow the company to rebuild a good financial situation, the workers are entitled to mobility allowances. Other companies are given incentives to hire them. This step has been removed in 2012 and will cease to function by 2017.
In the Italian unemployment insurance system all of its size is related to income, and they have an average dekomodification rate. The basis for rights is always a job, with more specific conditions for each case, and the service provider is always a country. An interesting feature worth discussing is that the Italian system considers the economic situation of the entrepreneurs, and aims also to free them from the cost of the crisis.
Japanese
Unemployment benefits in Japan are called "unemployment insurance" and are closer to "US" or Canadian "paying" system than taxpayer financed systems in countries such as the UK, New Zealand or Australia. It is paid by contributions by employers and employees.
Upon leaving the job, employees should be given "Rishoku-hyo" documents indicating their ID number (same number should be used by younger employers), length of service, and payment (which contributions are related). The reasons for going are also documented separately. This item affects the eligibility, timing, and amount of benefits. The length of time an unemployed worker can receive benefits depends on the age of the employee, and how long they have worked and paid.
It should be mandatory for most full-time employees. If they have been registered for at least 6 months and are fired or made redundant, leave the company at the end of their contract, or their contract is not renewed, workers who are now unemployed will receive unemployment insurance. If a worker stops by itself, they may have to wait between 1 and 3 months before receiving any payment.
Mexico
Mexico does not have a national unemployment insurance system, but it has five programs to help the unemployed:
- Mexico City Unemployment Scheme - The only unemployment insurance system based on worker contributions is in Mexico City. Mexico City unemployed at least 18 years old, has been working for at least six months, has no income, and is actively looking for a job entitled to unemployment benefits for up to six months, consisting of a 30 day 'minimum monthly fee' payment.
- Mexican Social Security Agency (IMSS) - This agency insures workers in the formal sector, provides pensions and health insurance. Uninsured workers by IMSS who are unemployed may withdraw retirement pensions maximum 30 days every five years. However, this does not cover the majority of workers, because 58% of the workforce is in the informal sector.
- The National Employment Service - This agency, which has 165 national offices, offers financial support in learning new skills for those over the age of 16 who are unemployed or underemployed, and assistance in finding new jobs in the form of information about job vacancies and job vacancies.
- Temporary Employment Program - This scheme is designed to assist unemployed people living in rural areas with high unemployment, any area experiencing financial crisis, or areas that have been hit by natural disasters or some other types of emergency. The program is funding projects to increase employment by employing local workers aged 16 years and over in jobs such as building infrastructure and promoting development, and preserving environmental and cultural heritage sites. They are paid a salary of 99% of the local minimum wage for a maximum of 132 days a year.
- Earned Income Generator Program - People living in poverty in the region up to a maximum of 15,000 residents are eligible for funding projects to generate income for themselves.
Dutch
Unemployment benefits in the Netherlands were introduced in 1949. Separate schemes exist for the Dutch mainland and for the Dutch Caribbean.
The scheme on the Dutch mainland requires that, according to Werkloosheidswet (Legal Unemployment, WW), employers are responsible for paying contributions to the scheme, which is deducted from salaries received by employees. In 2012 its contribution is 4.55% of gross salary up to ceiling 4,172 euros per month. 1.435.75 The first euro of the gross salary of employees is not subject to 4.55% contribution.
Benefits are payable for a maximum period of 38 months and the claimant gets 75% of the final salary for 2 months and 70% thereafter with a maximum benefit of 3128 euros, depending on how long the plaintiff has been hired earlier. Workers older than 50 years who are unemployed for more than 2 months are entitled to special benefits called IOAW, if they do not receive regular unemployment benefits (WW).
New Zealand
In New Zealand, Job Seeker Support, formerly known as Unemployment Unemployment and also known as "alms" provides income support for people looking for work or training to work. This is one of a number of benefits managed by Employment and Income, a service of the Ministry of Social Development.
To obtain this benefit, a person must meet the requirements and obligations set forth in article 88A for the 123D Social Security Act of 1964. These conditions and obligations cover such matters as age, residence status, and availability for employment.
The amount paid depends on things like age, income, marital status and whether they have children. This is adjusted every year on 1 April and in response to changes in the legislature. Some examples of the maximum weekly rate after taxes on April 1, 2011 are:
- $ 175.10 for one person 20-24 years old without children
- $ 210.13 for one person 25 or older
- $ 325.98 for single parent
- $ 350.20 for married couples, de facto, or civil unions with or without children ($ 167.83 each).
More information about this benefit and the amount paid is on the Work and Income website.
External links
- Work and Income Website
- Social Security Act 1964
Spanish
The Spanish unemployment benefit system is part of the Spanish social security system. Benefits are managed by the State Public Works Agency (SEPE). The rights granting basis is that which has contributed during the minimum period during the time before unemployment, with further conditions likely to apply. This system consists of the benefits of contributions and non-contribution benefits.
Benefits of contributions are paid to those who are unemployed with a minimum 12 month contribution over a period of 6 years before unemployment. The benefits are paid for 1/3 of the contribution period. The amount of benefits is 70% of the legal reference salary plus the additional amount for dependent people. The benefit is reduced to 60% of the reference salary after 6 months. The minimum benefit is 497 euros per month and the maximum is 1087.20 euros per month for one person. Non-contribution allowances are available to people who are no longer entitled to contributions and who have no income above 75% of the national minimum wage.
Swedish
Sweden uses the Ghent system, where most unemployment benefits are distributed by union unemployment funds. Unemployment benefits are divided into voluntary schemes with income-related compensation to some extent and comprehensive schemes that provide lower levels of basic support. Voluntary schemes require a minimum membership of 12 months and 6 months of work during that time before a claim can be made. Employers pay fees above their employee's pretax income, which together with membership fees, fund the scheme (see Unemployment fund in Sweden).
Maximum unemployment benefit (as of July 2016) SEK 980 per day. During the first 200 days, the unemployed will receive 80 percent of their normal earnings over the past 12 months. From 201-300 it fell to 70 percent and from 301-450 days insurance covers 65 percent of normal income (only available for parents for children under the age of 18). In Sweden, taxes are paid on unemployment benefits, so the unemployed will get a maximum of about SEK 10,000 per month during the first 100 days (depending on the city tax rate). In other currencies, in June 2017, this means a maximum of about Ã, £ 900, $ 1,150, or EUR1,000, every month after tax. Private insurance is also available, primarily through professional organizations, to provide income-related compensation that otherwise exceeds the scheme's ceiling. Comprehensive schemes are funded by taxes.
Saudi Arabia
Saudi Arabia is an economic welfare state with medical care and free unemployment benefits. However, the state does not rely on taxation but mainly oil revenues to maintain social and economic services for its population.
Payment: 2000 SAR (USD $ 534) is only for 12 months for unemployed people aged 18-35
External links
- Saudi Arabian Social Services
United Kingdom
Jobpeker Allowance Rate
JSA for one person is changed every year, and on August 3, 2012, the maximum debt is £ 71.00 per week for people over 25 and £ 56.25 per week for people aged 18-24. Rules for couples where both are unemployed are more complex, but maximum Ã,  £ 112.55 per week is paid, depending on age and other factors. JSA-based income is reduced for people with savings over Ã,  £ 6,000, with a reduction of Ã, £ 1 per week per Ã,  £ 250 savings, up to Ã, £ 16,000. People with savings of over 16,000 pounds can not get IB-JSA at all. The British system provides lease payments as part of a separate scheme called Housing Benefits.
Unemployment benefits are often referred to as "alms"; to receive benefits is "charity". "Dole" here is an ancient expression which means "a given part", from an identical Old English word d? L .
United States
In the United States, there are 50 state unemployment insurance programs plus one each in the Districts of Columbia, Puerto Rico, and the US Virgin Islands. Although the policies differ by state, unemployment benefits generally pay qualified workers as high as $ 783.00 per week in Massachusetts to as low as $ 235 per week maximum in Mississippi. Benefits are generally paid by the state government, funded mostly by state and federal salary taxes levied against employers, to workers who have become unemployed not because of their own fault. Eligibility requirements for unemployment insurance vary by country, but in general, employees are not fired for breaches ("terminated for cause") eligible for unemployment benefits, while they are dismissed for violation (this can sometimes include mistakes made outside the workplace , such as posting a social media problem or doing a crime) is not.
In every state, employees who quit their jobs without "good intentions" are not eligible for unemployment benefits, but the definition of a good reason varies by country. In some states, being fired for errors permanently prohibits employees from receiving unemployment benefits, while in other countries only disqualifies employees for a short time. This compensation is classified as a type of social welfare benefit. Under the Internal Revenue Code, this type of benefit should be included in the taxpayer's gross income.
The standard time-duration of unemployment compensation is six months, although extensions are possible during the economic downturn. During the Great Recession, unemployment benefits were extended to 73 weeks.
The Supreme Court declares that federal unemployment laws are constitutional and do not violate the Tenth Amendments in Steward Machine Company v. Davis , 301 U.S. 548 (1937).
Federal-state shared program
Unemployment insurance is a federal state program financed through federal and state salary taxes (state and federal taxes). In most countries, employers pay state and federal unemployment taxes if:
- (1) they pay employees $ 1,500 or more in every quarter of the calendar year; or,
- (2) they have at least one employee for one day a week for 20 weeks in a calendar year, regardless of whether the week is in a row. Some state laws differ from federal laws.
To facilitate the program, the US Congress passed the Federal Unemployment Tax Act (FUTA), which authorizes the Internal Revenue Service (IRS) to collect an annual federal employer tax that is used to finance state employment agencies. FUTA covers the administrative costs of the Unemployment and Employment Insurance Program in all states. In addition, FUTA pays half the cost of extended unemployment benefits triggered in periods of high unemployment. FUTA also provides funds from which UI fund countries can borrow to pay for benefits. As originally established, the state pays the federal government.
FUTA tax rates initially three percent of taxable wages are collected from employers employing at least four employees, and employers can reduce up to 90 percent of the amount due if they pay taxes to the state to support the unemployment insurance system that meets Federal. standard, but the rules have just changed. FUTA tax rate now, as of June 30, 2011, 6.0 per cent of wages taxed by employees meeting both the above and the following criteria, and the tax-pay base is the first $ 7,000 paid in wages for each employee for one calendar year. Employers who pay state unemployment tax on time receive offset credits up to 5.4 percent regardless of the tax rate they pay their country. Therefore, the FUTA net tax rate is generally 0.6 percent (6.0 percent - 5.4 percent), for a maximum FUTA tax of $ 42.00 per employee, per annum (0.006 X $ 7,000 = $ 42.00). State law determines the level of individual unemployment insurance taxes state. In the United States, the unemployment insurance tax rate uses an experience rating.
Although the taxable base for each state/territory is at least $ 7,000 as mandated by FUTA, only four states or territories remain at this minimum. These states/territories include Arizona, California, Florida, and Puerto Rico. Florida and Puerto Rico maintain tax rates similar to other states, but Arizona and California both have higher maximum tax rates. The minimum Florida tax rate is 0.1% and the state maximum is 5.4% and in Puerto Rico, employers are taxed between 2.4% and 5.4% depending on their experience ratings. By 2015, Arizona's minimum is 0.03%, but the maximum is 7.79%. The California tax rate on the current tax-deductible wage is higher than the federal minimum of 6.0%. Employers are currently on a tax schedule that requires them to pay a minimum of 1.5% and a maximum of 6.2% of the taxable wage base. Even with a federal tax credit of 5.4%, Arizona entrepreneurs can pay $ 175 per employee ((0.0779-0.054) x $ 7,000) and a California company can pay $ 56 per employee ((0.062 -054) x $ 7,000) compared to a maximum of $ 42 FUTA.
In the above limits, individual states and territories increase their own contribution and run their own programs. The federal government sets broad guidelines for coverage and eligibility, but states differ in how they determine benefits and feasibilities.
The federal rules are taken by the US Department of Labor, Employment and Training Administration. For most states, the maximum period for receiving benefits is 26 weeks. There are additional benefit programs (enacted through the Social Security Act) that may be triggered by the state unemployment rate. Congress often passes temporary programs to extend benefits during the recession. This was accomplished by the Temporary Unemployment Compensation (TEUC) program for 2002-2003, which has expired, and remained valid until June 2, 2010, under the Law on Extension of Unemployment Unemployed 2008. In July 2010, the law giving the extension federal unemployment benefits extended until November 2010 were signed by the president. The law provides benefits to the 2.3 million unemployed workers who have spent their unemployment benefits.
The federal government lends money to states for unemployment insurance when countries lack the funds that occur when state UI funds are unable to cover the current cost of benefits. High unemployment rates shrink UI's tax revenues and increase spending on benefits. The state finances of UI and the need for loans are compounded when countries cut taxes and increase benefits. FUTA loans for state funds are repaid with interest.
The congressional action to increase the penalties for countries that caused major debt to unemployment benefits led to the country's fiscal crisis in the 1980s.
One interesting feature of UI taxes is that it targets firms that have recently experienced layoffs, potentially hitting distressed companies. Recent work suggests that UI taxes are significantly increasing to reduce recruitment and employment in affected enterprises, potentially undermining the macroeconomic stabilization effect of UI programs.
Macroeconomic function
For Keynesians, unemployment insurance acts as an automatic stabilizer. Automated allowance increases when unemployment is high and falls when unemployment is low, tidying up the business cycle; However, others claim that the taxation required to support this system serves to reduce employment.
Feasibility and amount
To receive benefits, a person must work at least a quarter in the previous year and have been laid off by the employer. Temporary or underpaid workers are not eligible for unemployment insurance. If a worker stops for no good reason or is fired for a violation, then they are usually not eligible for UI benefits. There are five common reasons for claims for unemployment benefits denied: workers are unavailable for work, workers quit their jobs for no good reason, workers are fired for mistakes, refused appropriate work, and unemployment due to labor disputes. In practice, it is only practical to verify whether a worker has stopped or been fired. If workers' claims are denied, then they have the right to appeal. If the employee is fired for errors, then the employer has a burden to prove that the termination of employment is an error set by the law of the state. However, if employees quit their jobs, they must prove that their voluntary separation should be a good reason.
Generally, workers should be unemployed not for their own guilt even though workers often ask for benefits they are not entitled to; when the employer indicates that the unemployed person is stopped or fired because the worker is required to pay back the benefits they receive. The unemployed must also meet the state requirements for the wages earned or the time of employment for a set period of time (referred to as "base period") in order to qualify for the benefit. In most states, the base period is usually the first four of the last five quarters completed before the time the claim was filed. Unemployment benefits are based on reported quarterly earnings. The amount of income and the number of working quarters is used to determine the length and value of unemployment benefits. The weekly average in 2010 payments is $ 293.
As a result of the American Recovery and Reinvestment Act passed in February 2009, many unemployed people received up to 99 weeks unemployment benefits; this may depend on the laws of the State. Before the passage of the American Recovery and Reinvestment Law, the maximum allowed is 26 weeks.
App process
It usually takes two weeks for the benefit payment to begin, the first being the "waiting week", which is not replaced, and the second is the time lag between the eligibility for the program and the first benefit actually paid.
To start a claim, unemployed workers must apply for benefits through state unemployment agencies. In certain cases, the employer starts the process. Generally, the certification includes the affected person confirming that they are "capable and available for work", the amount of part-time income they may have, and whether they are actively seeking work. This certification is usually done over the Internet or through an interactive voice response phone call, but in some states it may be by post. Upon receipt of the application, the state will notify individuals if they meet the terms and rates they will receive each week. The state will also review the reasons for the separation from work. Many countries require individuals to periodically state that benefits are still being met.
Disqualification/Appeal
If the reasons for a worker to separate from their last job are for several reasons other than "lack of work," a determination will be made about whether they are eligible for benefits. Generally, all determinations of eligibility for benefits are made by the appropriate State under its law or applicable federal law. If a worker is disqualified or denied benefits, they have the right to appeal within the stipulated time frame. The State shall advise a worker of the right of appeal. Employers may also appeal the determination if they disagree with the state's determination regarding employee eligibility. If workers' claims are denied, then they have the right to appeal. If the employee is fired for errors, then the employer has a burden to prove substantially that the termination of employment is an error set by the law of the state. However, if employees quit their jobs, they must prove that their voluntary separation should be a good reason. The success rate of jobless submissions is two-thirds, or 67% of the time for most plaintiffs. In the State of Oklahoma, prosecutors generally win 51.5% of the time in offense cases.
Measurement
Current data
Every Thursday, the Department of Labor publishes the Unemployment Weekly Claims Weekly Report . The main numbers are seasonally adjusted forecasts for initial claims for unemployment for the previous week in the United States. This statistic, as it is published weekly, depends on the current indicators of the labor market and the economy in general.
In 2016, the number of unemployed benefit people dropped to around 1.74 the lowest in the last 4 decades.
Unemployment insurance prospect
Twice a year, the Office of Management and Budget provides an economic assessment of the unemployment insurance program that deals with budgetary issues. Because it is related to the 2012 FY budget, OMB reports that the unemployment rate (IUR) is projected to average 3.6% in FY 2011 and FY 2012 FY. Regular unemployment benefit spending is estimated at $ 61 billion in FY 2011 and $ 64.3 billion in FY 2012, down slightly from Midsession estimates. Expenditures from state trust funds accounts are projected to exceed earnings and interest income of $ 16.0 billion in FY 2011 and $ 15.1 billion in FY 2012. The balance of state trust funds, net of borrowings, is projected to continue to decline, from - $ 27.4 billion at the end of FY 2010 to - $ 62.7 billion by the end of FY 2013, before it begins to grow again.
The net balance is not projected to be positive again until it exceeds FY 2016. Up to 40 countries are projected to continue borrowing much from the Federal Unemployment Account (FUA) over the next few years. The aggregate loan balance is projected to increase from $ 40.2 billion at the end of FY 2010 to the peak year-end balance of $ 68.3 billion in FY 2013. Due to the high volume of state borrowings and the increase in EB payments, the FUA and EUCA are projected to borrow $ 26, 7 billion of general funds in FY 2011 and an additional $ 19.4 billion in FY 2012, with none of the accounts projected to return to net balance before 2016. Public advances must be paid at interest.
Reasons and economic problems
The economic argument for unemployment insurance comes from the principle of reverse selection. One common criticism of unemployment insurance is that it poses a moral hazard, the fact that unemployment insurance lowers efforts in the workplace and reduces job search efforts.
Inverted selection
Adverse selection refers to the fact that "workers with the highest probability of being unemployed have the highest demand for unemployment insurance." Difference in selection causes profit maximizing private insurance agents to set a high premium for insurance because there is a high probability they have to make payment to the policyholder. High premiums work to exclude many individuals who might buy insurance. "The government's mandatory program avoids the problem of reverse selection, therefore the provision of UI governments has the potential to improve efficiency, but government provisions do not eliminate moral hazards."
The moral hazard
"At the same time, workers who managed to get insurance may experience more unemployment, otherwise it will happen." Private insurance companies must determine whether the employee me
Source of the article : Wikipedia
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