The Government has proposed extension of the exceptions in the Unemployment Security Act

Last spring the Government implemented several exceptions to the Unemployment Security Act. Now the Government proposes that the rest of the exceptions should remain valid until the end of the year. According to the proposal, for example, the exempt amount of 500 euros of the unemployment benefit could be applied to the end of the year.

Extension of exceptions

Last spring the Government implemented several exceptions to the Unemployment Security Act. This time the extension of exceptions concerns the exempt amount of the unemployment benefit, entrepreneur’s own announcement of income, and payment of benefit without a decision. According to the original schedule these changes were to remain valid until 31 October 2020. According to the proposal their validity would be extended to 31 December 2020.

Exempt amount of 500 euros

The purpose of the exempt amount is that you can work in small scale without it affecting the amount of your earnings-related daily allowance. If your income is at most the exempt amount, the income will not affect the daily allowance. Before the exception due to the coronavirus the exempt amount was 300 euros per month. With the exception the exempt amount is now 500 euros per month.

According to the amendment proposed by the Government, the exempt amount of 500 euros shall be used in application periods that start on 31 December 2020 at the latest. So the previous exempt amount of 300 euros will be used again in application periods that start on 1 January 2021 or later.

Mobility allowance

If you get a job that is located further away from your home, you can apply for mobility allowance from us. Mobility allowance will make it possible to commute further, and you can seek jobs in a larger area. According to the exceptional legislation, mobility allowance can be paid for full-time employment, if the return trip to work takes a minimum of two hours. Before the exception the required duration of commute was three hours.

According to the Government’s proposal, the exception for the required duration of commute would be extended to the end of the year. Mobility allowance could be paid for full-time employment based on commute of 2 hours, if the employment starts on 31 December at the latest. The required commute of 3 hours would be applied again to employments that start on 1 January 2021 or later.

Other changes

The special adjustment period is suspended until the end of the year. In addition, payment of a benefit without a decision for a period of six months will be extended to the end of the year.

When earnings-related daily allowance is adjusted together with income from entrepreneurial activities, the income can be taken into account based on the entrepreneur’s own announcement, if the amount of income has changed due to an infectious disease that has spread over a large area. This exception will also be valid to the end of the year.

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