Unemployment Agreements

These people continue to receive their weekly unemployment benefits for up to 39 weeks. Since most countries offer 26 weeks of unemployment benefits, the CARES act expands coverage for 13 weeks. In addition to weekly unemployment benefits, they will receive a maximum of US$600 per week until 31 July 2020. Each state`s unemployment fund is managed by the federal government and used by the state to pay unemployment applications. Each year, the Ministry of Labour publishes a report on the solvency of the government trust fund. The report is here. The fight against long-term unemployment is a major challenge for the use of the Commission`s employment and growth strategy. Almost half of the unemployed are still long-term unemployed, i.e. unemployed for more than 12 months. Long-term unemployment has an impact on society as a whole, with serious social consequences for those affected and negative impacts on growth and public finances. Long-term unemployment is one of the causes of the persistence of poverty. Assuming that they meet the eligibility criteria for their resident, those who are made redundant or made redundant can benefit from extended benefits. These individuals receive the weekly benefit set by the state for a maximum of 39 weeks (compared to 26), plus the pandemic unemployment benefit (“PUC”) of USD 600 per week.

The federal government will make funds available to the federal states to pay the first week of unemployment benefit – so no usual one-week wait. PuC amounts expire on July 31, 2020. There is no doubt that these measures, implemented quickly, have made a significant contribution to maintaining employment and supporting businesses in recent months. In Europe, the peak was reached in April, with 10.1 million workers in Germany, 9.1 million workers in France and nearly one million workers in Belgium. In the case of Germany, this was 22.4% of total employment, or only 3.3 million workers who received such benefits during the 2009 economic and financial crisis. States have implemented a number of emergency rules for unemployed workers affected by COVID-19. Measures include waiting seven days to obtain benefits, the ability to apply for work participation and extending benefits to quarantined workers. The following countries have published guidelines on the management of unemployment insurance benefits for workers covered by COVID-19. Here are the corresponding government websites on unemployment.

For more information, please contact your Partner Foley or Foley colleagues below. You`ll find other web resources to help you monitor the spread of coronavirus around the world on the CDC and World Health Organization websites. At the beginning of the crisis, France had also set up a specific programme of partial unemployment. Under this scheme, the employer paid 70% of the salary and was then fully reimbursed by unemployment insurance. In the absence of deductions, this was a replacement rate of 84% for workers.