Different forms of lay-off

Full-time lay-off

Full-time lay-off means that the lay-off is an uninterrupted period of at least one calendar week from Monday to Sunday. In such case, we will pay full earnings-related daily allowance for the period of lay-off. If you receive other income, such as business income, during your full-time lay-off your earnings-related daily allowance is paid as adjusted daily allowance. In such case, we will take your business income into consideration and pay you adjusted daily allowance for the period of lay-off. You can calculate the estimated amount of your adjusted daily allowance by using the calculator available in the electronic services of the unemployment fund.
Earnings-related daily allowance is not paid for public holidays if you would normally have them as paid holidays. For example, if you are laid off during the Easter week, first a waiting period of five days is applied, and earnings-related daily allowance is paid for three days. Good Friday and Easter Monday are not included in the 5-day waiting period and earnings-related daily allowance is not paid for these public holidays. If a waiting period is applied, it is set for the period 11 April – 19 April. The same applies to May Day, Ascension Day, Midsummer Eve, Christmas Eve, Christmas Day, Boxing Day, New Year's Day and Epiphany. Earnings-related daily allowance is not paid for these public holidays. They also do not count towards the 5-day waiting period.
Sectors on which public holidays may be working days are an exception to this rule. If an employee working in such sector is laid off, we also pay earnings-related daily allowance for public holidays, provided that wages for the days in question have been deducted. 

Shortened working week

Shortened working week means that you have at least one full day of lay-off during the calendar week (Mon-Sun). In such case, we will pay full earnings-related daily allowance for the days on which you are laid off. Your weekly working hours must not exceed 80 percent of maximum working hours in the sector. In practice, this means that during the calendar week in question you should not have more than four normal working days in addition to one day of lay-off, in order for us to be able to pay you earnings-related daily allowance for the days of lay-off. If you are a shift worker and you have three days of lay-off and four days of work during the calendar week, earnings-related daily allowance can only be paid for one day even if your wages are deducted for three days. This is because the number of days of unemployment, work, compensation and waiting period may not exceed five days during a calendar week.
If you receive other income, such as business income from part-time business activities, during your shortened working week your earnings-related daily allowance is paid as adjusted daily allowance. In such case, we will take income paid by your employer and your business income into consideration and pay you adjusted daily allowance for the period of lay-off. Income paid by the employer who laid you off is taken into consideration based on the earning period. In other words, the income is allocated to the month when the work was performed. As a general rule, income from part-time business activities is determined based on your most recent confirmed personal tax decision. You can calculate the estimated amount of your adjusted daily allowance by using the calculator available in the electronic services of the unemployment fund. 
If you have been laid off from part-time employment to a shortened working week, we will not pay full earnings-related daily allowance for days of lay-off. Instead, we will pay you adjusted daily allowance because payment of full earnings-related daily allowance requires that you have worked full-time before being laid off. 

Shortened workdays and mixed-form lay-off

A lay-off can also take the form of shortened workdays. This means that daily working hours are reduced, for example from 7.5 to 6 hours per day, and wages are reduced accordingly. Adjusted daily allowance is paid for shortened workdays. Earned income is taken into consideration based on the payment date, i.e. allocated to the period during which the income is paid. A working time review is applied to shortened workdays, and in order for adjusted daily allowance to be paid working hours may not exceed 80 percent of the maximum working hours in the sector. In case of a lay-off, working hours are reviewed per calendar week. For shortened workdays this means that the review of working hours is only applied to the calendar week on which wages are paid, and paid working hours are taken into consideration in the review of working hours.  This generally results in adjusted daily allowance not being paid for the calendar week in question. Adjusted daily allowance is paid for other days included in the application period on the basis of earned income received.
Example: 
Your workdays have been shortened and you work 4 hours per day. The length of a normal workday would be 7.5 hours. Your payday is the 15th of each month. You apply for adjusted daily allowance for March 2022. Your wages are paid on the 15th of March and you receive wages for a total of 84 working hours. We review your working time in week 11, which is the week during which your wages are paid. In order to receive adjusted daily allowance for the week in question the number of working hours should not exceed 30 hours (normal working hours would be 37.5 hours per week and 80% of that is 30 hours). However, you have received wages for 84 hours. This means that working hours are exceeded in week 11, and we must issue a rejection decision for the week in question. We will pay adjusted daily allowance for other days in March and take the wages paid on 15 March into consideration when determining the rate of your adjusted daily allowance.    
Mixed-form lay-off means that you have full days of lay-off, shortened workdays and full workdays in the course of the same calendar week. When determining the payment of adjusted daily allowance, income is taken into consideration based on the earning period. In other words, the income is allocated to the month when the work was performed.  
The amount of adjusted daily allowance is calculated by taking into consideration half of earned income in excess of EUR 300 (exempt amount). You can calculate the estimated amount of your adjusted daily allowance in the electronic services of the unemployment fund. 
Further information on the prerequisites for receiving adjusted daily allowance and calculating the rate of the allowance is available in the section on general information concerning adjusted daily allowance. See also how shortened workdays affect the recalculation of daily allowance. 

Waiting period

Before the payment of earnings-related allowance can begin, a 5-day waiting period is applied. The waiting period must correspond to five workdays. The 5-day waiting period must be completed within eight consecutive calendar weeks. If the first day of your waiting period is in week 4, the waiting period must end on week 11 at the latest. The waiting period only runs on calendar weeks during which working hours do not exceed 80 percent of the maximum working hours in the sector. In addition, wages must be reduced accordingly. As a general rule, public holidays are not included in the waiting period. A maximum of five days per calendar week can be included in the waiting period.
Example: If your first day of lay-off is in week 8 (Friday) the last possible days that may count towards your waiting period are in week 15.
The 5-day waiting period is reset if you meet the working condition again and the new maximum period of daily allowance starts more than a year after the start of the previous daily allowance period. For example, if the payment of your earnings-related daily allowance has started after a 5-day waiting period on 3 January 2021, a new waiting period will not be applied if you work 26 weeks and your new daily allowance period starts on 2 January 2022 at the latest.  

A waiting period may need to be applied two times in a row

A 5-day waiting period may need to be applied two times in a row in the following case:
You are only laid off for the duration of the waiting period from 10 to 14 January 2022 and the payment of daily allowance does not start. Your next lay-off period starts on 1 August 2022. By 1 August 2022, you have accumulated 26 weeks towards your working condition after the previous period of lay-off (10 – 14 January), which means that you have met the working condition again. Your daily allowance will be recalculated and a new 5-day waiting period is applied starting from 1 August 2022. This is because the payment of daily allowance did not start during the previous period of lay-off.   

The 5-day waiting period must be applied at least every other time the working condition is met

Earnings-related daily allowance is recalculated and the 5-day waiting period is applied at least every other time that the working condition is met. For example, if you are laid off to a four-day working week for the period 4 January to 28 June 2021. The lay-off day is always a Monday. The 5-day waiting period applies to the period 4 January – 1 February 2021. At this point, there have been four weeks that count towards the working condition. Earnings-related daily allowance is paid for the period 8 February – 28 June 2021, with the exception of Easter Monday. During the entire lay-off period from 4 January to 28 June 2021, you have accumulated a total of 25 weeks that count towards the working condition.
Your new four-day working week starts on 2 August 2021. The lay-off day is always a Monday. The working condition has been met because at least 26 working weeks have been accumulated towards the working condition. The maximum payment period is reset on 2 August 2021. A 5-day waiting period is not applied and earnings-related daily allowance is not recalculated because the new maximum payment period starts within a year of the start of the previous maximum payment period (8 February 2021). The four-day working week continues until the spring of 2022 and the 26-week working condition is met again in late January 2022. This time, the rate of earnings-related daily allowance is recalculated and the 5-day waiting period is applied in addition to resetting the maximum payment period, even though the new maximum payment period starts within a year of the start of the previous maximum period of earnings-related daily allowance (8 February 2021). Earnings-related daily allowance is recalculated and the 5-day waiting period is applied because they were not recalculated and applied the previous time that the working condition was met. Earnings-related daily allowance must be recalculated and a waiting period applied at least every other time that the working condition is met.

Lay-off of a fixed-term employee

The unemployment fund can pay a fixed-term employee daily allowance for a period of lay-off only if the fixed-term employee is substituting for another person and that person could have been laid off.