Unemployment. Benefits for the unemployed

Transcription

1 Unemployment Benefits for the unemployed

2 Contents Unemployment 1 Benefits for the unemployed 2 When you become unemployed 2 Unemployment allowance 2 Labour market subsidy 4 Integration assistance for immigrants 5 Financial assistance for unemployed persons undergoing training 6 Assistance for the older unemployed 6 Application and payment 7 Appealing a decision 7 Kela is at your service 8

3 Unemployment benefits Kela s benefits provide people with basic security when their other income falls. In this brochure, we explain what kind of financial support Kela gives to the unemployed. There are many forms of support available. Therefore it is good to familiarise yourself with what other types of support are available to you from Kela. These include, for example, general housing allowance. Kela grants support on the basis of applications. You can apply for support from Kela. Application forms are available on the internet and at Kela s offices. or (in Finnish or in Swedish) The requirements you must meet to qualify for benefits from Kela have been specified in various legislative acts. When Kela makes a decision about support, the applicant s circumstances are considered individually. The circumstances of applicants and their need for support can vary a great deal. Therefore, the amount of support given varies too. This brochure explains the main issues concerning the support available for the unemployed in It does not include all the details of the different types of benefits. If you want to find out the exact amounts of unemployment benefits and the various income limits applicable to them, please go to You can also ask Kela for a supplement to this brochure, which contains the same information. 1

4 Kela s benefits for the unemployed Unemployment makes income smaller. Kela looks after the basic security of those without a job during their period of unemployment. Unemployment benefits are paid to people living permanently in Finland as well as to those who come from other EU countries and who have last worked in Finland. Financial assistance during a period of unemployment is provided in the form of unemployment allowance labour market subsidy. When you become unemployed When you become unemployed, register immediately as an unemployed jobseeker at the Employment and Economic Development Office (TE Office). Unemployment benefits are paid only during the period that you are listed as a jobseeker (looking for a job) at the TE Office. The Office also gives Kela a certificate about whether or not you meet the requirements for the payment of benefits. During your period of unemployment, you have the obligation to actively look for work. You should also take up work or training offered to you. You cannot say no to it without reason if you do so, the result may be loss of the right to benefits. Register regularly at the Employment and Economic Development Office (TE Office). Unemployment allowance Unemployment allowance can be an earnings-related allowance (an allowance based on the money you make) or a basic allowance. Unemployment allowance is paid under certain conditions also for job search in another country. Earnings-related unemployment allowance Earnings-related unemployment allowance is paid by the unemployment fund where you are a member. For example, labour unions often have their own unemployment funds. Kela does not pay earnings-related unemployment allowance, and you do not apply for it to Kela. Earnings-related unemployment allowance can be paid if you have been an unemployment fund member long enough and you meet a work requirement. The amount of the earnings-related unemployment allowance is calculated in keeping with your earnings the money you make and it is paid for a maximum of 500 days. Ask for more information about the earnings-related unemployment allowance from your own unemployment fund or the Federation of Unemployment Funds ( 2

5 Basic unemployment allowance If you are not an unemployment fund member and cannot get an earnings-related unemployment allowance, Kela will pay you a basic unemployment allowance. It is paid for a maximum of 500 days. The basic unemployment allowance is EUR per day, and it is paid for 5 days a week. If you have any children, you get a child increase (EUR a day, depending on the number of children). You pay taxes on the basic unemployment allowance. Work requirement To qualify for basic unemployment allowance, you must meet a work requirement. It is met if you have been at work for at least 26 weeks during the past 28 months your work time has been at least 18 hours a week your salary has been according to collective work agreement or at least EUR 1,165 per month (in 2015). Working periods in some other EU/EEA (European Economic Area) country or Switzerland can also be accepted. The period within which you must meet the work requirement can be longer than 28 months if you have been ill, have studied or have looked after a child of your own who is under 3 years old, or if you have participated in actions organized by a TE Office (Employment and Economic Development Office). Self-employed people have their own work requirement. If you are self-employed, contact Kela to find out the eligibility requirements for the basic unemployment allowance. Telephone our service number: , Monday to Friday from 8 a.m. to 6 p.m. Basic unemployment allowance increase or transition assistance supplement An increase to the basic unemployment allowance can be paid in two situations: for up to 90 days if you have been at work for at least 20 years You may not have resigned without a good reason or have caused the termination of your employment. for up to 200 days if you take part in activities organized by the Employment and Economic Development Office (TE Office). The amount of the basic unemployment allowance increase is EUR 4.80 euros per day. Labour market subsidy You can get labour market subsidy if you are an unemployed jobseeker aged who lives in Finland permanently. It is intended for unemployed persons who are not eligible for earnings-related or basic unemployment allowance. The time period for receiving labour market subsidy is not limited. 3

6 Who qualifies for labour market subsidy? You can get labour market subsidy even if you do not meet the work requirement, i.e. you haven t been working long enough. After you have received earnings-related or basic unemployment allowance for 500 days, Kela may pay you labour market subsidy. Labour market subsidies are not paid outside Finland. If you are under 25 years old, there are limits on getting this aid which concern education and actions to promote employment. Contact the TE Office to find out if you can get labour market subsidy. How much is the labour market subsidy? The labour market subsidy is exactly as much as the basic unemployment allowance. It is sometimes affected by parental income. The labour market subsidy is EUR a day. It is paid for 5 days a week. The subsidy is bigger if you have children to look after. The full labour market subsidy is EUR euros per month. An increase may also be paid to the labour market subsidy. It is paid during a period agreed with the TE Office, but for no more than 200 days. The increase is EUR 4.80 euros per day. You pay taxes on your labour market subsidy. Other income makes the subsidy smaller All your income reduces the total amount of the labour market subsidy. If you have income from capital, it also reduces the amount of the subsidy. Parents income makes the subsidy smaller if you live with your parents. You always get at least half your labour market subsidy. Parental income does not make the subsidy smaller if you are participating in an activity agreed with the TE Office. Personal capital income does not affect the labour market subsidy during a period of 180 days after the maximum period for basic or earnings-related unemployment allowance (500 days) if you are 55 years of age or older and you fulfilled the work requirement before you became unemployed if you take part in an activity agreed with the TE Office 4

7 Coordination of unemployment benefit with earnings If you have earnings while unemployed, be sure to tell Kela about them. Any earnings you have are coordinated with your labour market subsidy or basic unemployment allowance. However, you can earn up to EUR 300 per month without it reducing your benefit. See more at Many types of aid do not affect the labour market subsidy. These are, for example, child benefit, child support, social assistance, housing allowance or disability allowance. Services that promote employment are, for example: labour market training independent study work preparation and career training work experience placements independent study by immigrant rehabilitative work. You can arrange to take part in these schemes and make an employment plan with a TE Office. You will normally receive unemployment benefit when you take part in an employment activity that you have arranged with a TE Office. Also, you can get an increase in your support, but for no more than 200 days. During the period of training and other activities, you can also get compensation for your travel costs and other expenses. Financial assistance for unemployed persons undergoing training You have various options to apply for training designed for the unemployed and get support during that period. By doing so, you can improve your chances of finding work. Ask the TE Office for details. 5

8 Assistance for the older unemployed An older unemployed person can get extra days on the earnings-related or basic unemployment allowance and get ready for retirement. Ask Kela if you can get extra days added to your unemployment benefits. Unemployed persons born in 1950 or after who can get extra days can apply for a retirement pension when they are 62 years old. Applying for unemployment benefits Firstly register as an unemployed jobseeker at an Employment and Economic Development Office (TE Office). Make an application to Kela when you have been unemployed for the qualifying period (5 working days). The application period for unemployment benefits is 3 months. You can also apply for assistance by filling in an application form you can get from any Kela office or from Kela s website. Deliver or send the filled-in application form to a local Kela office. Check the application dates. See the application form for a list of the documents you need to send with it. Payment of allowances When Kela has handled your application, you get a decision about the allowance sent to your home. The amount of the allowance, the criteria based on which it is granted, and the payment date are shown in the decision. You get a decision even if it is negative. Kela pays the allowances to your bank account. You can apply for unemployment benefits on Kela s website. 6

9 Unemployment status report If unemployment continues, you must send a status report concerning the period of unemployment to Kela at 4-week intervals. You can do this via the Internet or on forms which you can get from Kela s webpages or its offices. You must indicate on which days you have been unemployed and on which days you have participated in an activity arranged with the TE Office. Appealing a decision You can apply for a change to a Kela decision. There are instructions on how to appeal in the attachment you get from Kela with your decision. If, during the period of unemployment, you have been at work occasionally, please indicate on which days you have been at work. Kela will pay you unemployment benefit based on the report you send. 7

10 Kela is at your service On the Internet You can get information about Kela s benefits on Kela s website. There are tools to calculate the amounts of benefits. (Please note that this service is available in Finnish and Swedish only.) Kela s website is at Address information for the Kela office or citizen service centre nearest to you is available on the the Internet at Addresses and customer service numbers are also listed in the local telephone directory. By scheduling an appointment Through Kela s online customer service, you can: apply for Kela benefits submit additional documents get information about the handling of your application report changes stop the payment of benefits. The online customer service is at and (Please note that this service is available in Finnish and Swedish only. To log in to Kela s online customer service, use your online banking codes or a mobile certificate.) By telephone Support during unemployment By contacting a Kela office or citizen service centre You can schedule an appointment with a Kela office or telephone customer service. It s a good idea to schedule an appointment if there is a major change in your circumstances or you need to discuss a complicated matter. Schedule an appointment at or call If you need interpreter assistance, contact Kela or see for more information. /interpretation Kela s employees must keep all personal matters secret. They are not allowed to speak of matters regarding their clients to outside persons. 8 Kela s offices are at your service in all matters connected with Kela benefits.

11 Report all changes If you receive a Kela benefit, do remember to inform us quickly if there are changes in your situation. These can be, for example, changes in your housing or family situation or changes in income. If you are unemployed, it is particularly important that you tell us about your income. Those who are unemployed should report their status to Kela every four weeks. Recovery of overpayments If Kela pays too much in benefits because of incorrect information, it must ask you to pay back the overpayment. Appealing a decision You can apply for a change to a Kela decision. Instructions on how to appeal are provided with each benefit decision. If you have questions, please call the telephone number below. Support during unemployment Unemployment Benefit Appeal Board Telephone Social Security Appeal Board Telephone The Overpayment Recovery Centre Lönnberg Oy,

12 Kela brochures available Kelan in English esitteet Brochures in printed and online format /muutkielet suomeksi pa svenska in English Davvisamegiella eesti keel Pусский Home and Family Benefits for families with children and housing allowances Health and Rehabilitation Compensation for illness and daily allowances, rehabilitation and disability benefits Studying Financial support for students and allowances for military conscripts Unemployment Financial support for the unemployed Pensions and Retirement Pension security, housing allowance and care allowance Moving to or from Finland How to get into the Finnish social security system and what happens when you move from Finland to another country