unemployment benefit

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unemployment benefit

1. (in Britain, formerly) a regular payment to a person who is out of work: replaced by jobseeker's allowance in 1996
2. (in New Zealand) a means-tested monetary benefit paid weekly by the Social Security Department to the unemployed

Unemployment Benefit

 

in capitalist countries, special monetary aid to persons who are out of work as a result of unemployment. Unemployment benefits have been introduced in 30 capitalist countries. As a rule, agricultural workers are not eligible. Unemployment benefits are usually financed in equal amounts by the contributions of workers and employers.

In Italy and the USA, only employers contribute to unemployment benefits. In Australia, New Zealand, and Luxembourg, benefits are paid for entirely out of state funds only to those unemployed who have undergone a thorough investigation of need and are classified as having no other means of subsistence. In Denmark, Finland, and Sweden, benefits are paid only to members of special funds set up on a voluntary basis by trade unions. Contributions to these funds are financed fully by the workers, although the state does provide some subsidies.

Under each system, unemployment benefits do not cover the entire period of unemployment. No benefits are paid during the waiting period, or the first two to seven days. Usually the maximum pay period is three to six months and the benefits usually amount to 30-60 percent of wages earned. The worker must make contributions for a certain period of time before he is eligible to receive benefits. To continue being eligible, he must register regularly with the unemployment office (labor exchange) and must actively look for work on his own. The major reasons for disqualification from benefits are discharge for misconduct, participating in a strike, voluntary termination of employment, and refusal of suitable work.

References in periodicals archive ?
Although deducting overhead and employee compensation, as well as de minimis costs, is normally the easiest and most beneficial method, Regs.
Our primary findings reveal that for the 1988-99 period as a whole, the earnings estimates produced by the employer costs for employee compensation replicates of average hourly earnings correspond fairly closely to the actual average hourly earnings series.
Employee compensation (including benefits) generally varies among different geographical regions, and the ability of an employer to separate its lines of business according to location without the danger of discrimination in its retirement programs will likely enhance an employer's ability to compete in difference markets.
These costs include amounts paid for property and credit reports, appraisals, processing charges and employee compensation allocations.
Such options are less attractive to employers because they are more likely to result in recognition of an employee compensation expense since the option's exercise price may be less than the stock's market price at the measurement date (an in the money option).
Cash payments (or reimbursements) for educational assistance in excess of the $5,250 cap are taxable employee compensation for Federal income tax withholding, FICA and FUTA purposes, and included as wages on the employee's Form W-2.
Curran has extensive experience with employee compensation and benefits.
The Omnibus Budget Reconciliation Act of 1993 (OBRA) lowered the maximum employee compensation used to calculate a qualified retirement plan contribution.
The most recent revival of the debate, focused on whether stock options should be counted as employee compensation on a company's income statement, began in late 1991 when Michigan Senator Carl Levin introduced the Corporate Pay and Responsibility Act.
Shortcomings of other employee compensation programs and the long-term benefits of a variable compensation plan are also evaluated.
Overall, the regulations will probably prove helpful to governmental agencies and tax-exempt organizations planning current and future employee compensation strategies.
In highly competitive, low inflationary times, companies are being squeezed between customers' desire for better service at lowest prices and employees' desire for more pay, according to Karen Jorgensen, author of ``Pay for Results: A Practical Guide to Effective Employee Compensation.

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