Lay-off means a temporary suspension of work and salary payment based on the employer’s decision, as the work contract stays otherwise valid. The reasons for a lay-off can be production, financial or temporary reduction of work load.
The lay-off can be put to action by shortening the weekly or daily work hours or the lay-off can be full-time. The daily allowance is paid full if the lay-off is full-time or the weekly work time has been shortened (the person is laid off for full days).
Full unemployment benefit from the lay-off days is paid to the employee, whose weekly working hours have been shortened by one or more days per week due to the lay-off. This means that for days, during which the person is completely unemployed, a full unemployment benefit is paid, but for full work days the unemployment benefit is not paid at all. If the person has both full lay-off days as well as shortened work days during a calendar week, adjusted unemployment benefit is paid for the week, in which case the adjustment takes into consideration both the income from shortened work days and the full work days.