Modernising social security
Access to earnings-related benefits must be facilitated with an improved level of benefits
The purpose of unemployment benefit is to secure the livelihood of workers during periods of unemployment, and to enable them to find new work that corresponds to their skills. The livelihood of the unemployed must be improved, especially in the case of those who have worked in low-paid sectors.
Objectives
- Increase the level of unemployment benefits, for example by abolishing the five-day waiting period.
- Facilitate access to earnings-related benefit by shortening the employment condition period to three months.
- Extend earnings-related unemployment benefit to everyone by enhancing the current unemployment fund system and increasing the level of unemployment benefit.
- Create a combined unemployment insurance system that incorporates income from wages and self-employment.
Grounds
The current employment condition of eligibility for unemployment benefit is difficult to satisfy, especially for part-time and casual workers. Abolishing the waiting period is a concrete way of improving unemployment benefit.
Access to earnings-related benefit should be facilitated for workers with varying working time arrangements. The employment condition should be shortened, as part-time and casual workers have difficulties in satisfying this condition in its present form.
Combining of gainful employment and work done on a self-employed basis must have a stronger impact on unemployment benefit. This can be achieved by introducing a combined insurance scheme that provides joint insurance for both forms of work. The level of earnings-related benefit will increase when both wages and income from self-employment affect the earnings on which the benefit is based.