Benefits when leaving work for employees working before 2009. Those who worked before 2009, when they quit, will receive an amount paid by the employer. However, few people know this information. Let us learn about this topic with LSX law firm as follow:
Benefits when leaving work for employees working before 2009
Article 46 of the Labor Code 2019 provides:
1. When the labor contract is terminated as prescribed in Clauses 1, 2, 3, 4, 6, 7, 9, and 10, Article 34 of this Code; the employer is responsible for paying the severance for employees who have worked regularly for them for full 12 months or more; Each working year; entitled to a half month’s salary allowance; except for cases where they are fully eligible for pension as prescribed by the law on social insurance and the case specified at Point e, Clause 1, Article 36 of this Code.
2. Working time for calculation of severance allowance is the total time the employee has worked for the employer; minus the time the employee has participated in unemployment insurance according to the provisions of the law on unemployment insurance; the working time has been paid severance allowance and job loss allowance by the employer.
3. The salary used to calculate the severance allowance is the average salary of the preceding 06 months according to the labor contract before the employee quits his job.
To summarize as follows:
– Employees who have worked for the enterprise for at least 12 months, when they quit, receive severance allowance;
– Time to calculate severance allowance = Total actual working time – Subtract the time when participating in unemployment insurance and the time when severance allowance and job loss allowance paid
– Level of severance allowance: Each working year corresponds to half a month’s salary
– The salary used to calculate severance allowance is the average salary of the preceding 06 months before leaving.
Thus, employees who go to work before paying unemployment insurance premiums will receive severance allowance when they quit their jobs.
Benefits when leaving work for employees working before 2009. Why is in 2009?
January 1, 2007, is the effective date of the 2006 Law on Social Insurance. This is the first law to provide for “unemployment insurance.” Besides benefits when participating in social insurance, there are also many benefits in unemployment insurance for both foreign and Vietnamese employees.
Clause 3, Article 2 of this Law clearly states:
Employees participating in unemployment insurance are Vietnamese citizens working under labor contracts or working contracts; which these contracts do not have a definite term or a definite term of from twelve to thirty-six months with the employer specified in Clause 4 of this Article.
Clause 1, Article 140 also provides:
This Law takes effect from January 1, 2007, especially for voluntary social insurance, from January 1, 2008, for unemployment insurance, from January 1, 2009.
Accordingly, participating in unemployment insurance is a right and also a mandatory obligation for employees and employers. To be more precise, from January 1, 2009, employees are officially entitled to participate in unemployment insurance. Like Vietnamese, foreign workers have to participate in unemployment insurance and receive benefits from unemployment insurance.
Thus, when employees leave their jobs; they will be entitled to severance allowance for the period of employment before 2009; – the time when they have not yet participated in unemployment insurance. Since 2009, employees who quit their jobs have been; entitled to unemployment benefits and no longer receive severance allowances.
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Related questions
Unemployment insurance is the amount of money paid to employees when they lose their jobs, supporting workers to learn jobs, maintain jobs, and find jobs on the basis of contributions to the Unemployment Insurance Fund.
It is not only a solid material and spiritual support for employees when unemployed, but also plays an important role in solving difficulties for employers and the state. Employers will be; relieved of the financial burden of settling benefits for laid-off employees. In particular, difficult economic times put pressure on manufacturers to reduce workers. For the state budget, unemployment insurance also contributes significantly to reducing costs when unemployment increases.
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