Unemployment benefits are a financial support system for workers when they lose their jobs. This regime helps unemployed people maintain temporary income and find new jobs. To receive benefits, workers need to meet the conditions of the unemployment insurance payment period and register unemployment at the employment service center. The following article will analyze in detail the subjects and conditions for unemployment benefits.

What is unemployment insurance?

Unemployment insurance is a system that compensates part of a worker’s income when he or she loses his or her job. This regime supports workers in vocational training, maintaining and finding jobs on the basis of contributions to the Unemployment Insurance Fund. According to Clause 4, Article 3 of the Law on Employment 2013, unemployment insurance plays an important role in ensuring social security.

The unemployment insurance fund supports workers to overcome economic difficulties, solve employment problems and create stable income. This policy contributes to stabilizing the labor market and ensuring social security. Unemployment insurance is an effective tool to help workers maintain their lives while looking for a new job.

Subjects are required to participate in unemployment insurance

Pursuant to Article 43 of the Law on Employment 2013, subjects required to participate in unemployment insurance include:

• Employees have labor contracts or work contracts of indefinite term
• The employee has a labor contract or a fixed-term working contract
• Employees have seasonal or job-based labor contracts with a term ranging from 3 months to less than 12 months.

Note: Employees under labor contracts or indefinite-term work contracts who are receiving pensions or working as domestic workers are not required to participate in unemployment insurance.

In case an employee enters into and performs multiple labor contracts/working contracts, the employee and the employer of the first contract are responsible for participating in unemployment insurance. This regulation ensures that all workers are protected by unemployment insurance, regardless of contract form.

When do workers receive unemployment benefits?

According to the provisions of Article 49 of the Law on Employment 2013, employees who are paying unemployment insurance are entitled to unemployment benefits when they meet all the conditions, which are:

• Terminating the labor contract or working contract, except in the following cases: The employee unilaterally terminates the labor contract or working contract illegally; receive monthly pension and disability allowance.
• Have paid unemployment insurance for 12 months or more within 24 months before terminating the labor contract or working contract in the case of a labor contract or working contract with an indefinite term, set a deadline; have paid unemployment insurance for 12 months or more within 36 months before terminating the labor contract in the case of seasonal labor contracts or for a certain job with a term of at least 3 months to less than 12 months.
• Have submitted an application for unemployment benefits at an employment service center within 3 months from the date of termination of the labor contract or working contract;
• Have not found a job after 15 days from the date of submitting the application for unemployment insurance, except in the following cases: Performing military service or police service; study for a period of 12 months or more; comply with the decision to apply the measure of sending to reformatories, compulsory education establishments, and compulsory detoxification establishments; being detained, serving a prison sentence; settle abroad, work abroad under contract; die.

The most accurate way to calculate unemployment benefits in 2024

According to the provisions of Clause 1, Article 50 of the Law on Employment 2013, the monthly unemployment benefit paid to employees is calculated according to the following formula:

Monthly benefit level = 60% x Average monthly salary paid for unemployment insurance of the 6 consecutive months before unemployment.

It should be noted that the maximum unemployment benefit will not be more than 5 times the base salary (9 million VND) or not more than 5 times the regional minimum salary (23.4 million VND).

Consulting services on issues of unemployment benefits in Long Phan

Long Phan provides professional consulting services on unemployment insurance. Our team of experts will assist customers in the process of registering for unemployment, preparing documents for benefits and finding new jobs. We are committed to accompanying workers through difficult times and quickly reintegrating into the labor market.

Long Phan provides the following services:

• Consulting on conditions and procedures for receiving unemployment benefits;
• Support in preparing and submitting subsidy applications;
• Support customers in working with competent authorities;
• On behalf of customers, explain issues requested by state agencies.

Understanding the subjects and conditions for unemployment benefits is essential to ensure the rights of workers during difficult times. Mastering the regulations will help you be more proactive in preparing documents and avoid unnecessary errors. If you have any questions about unemployment insurance, please contact Long Phan via hotline 0906735386 for detailed advice.