Employee Rights Upon Job Loss

Regarding your situation, there are two questions about the benefits you are entitled to:

1. Benefits upon job loss: Clause 10, Article 36 of the Labor Code 2012 stipulates that in case of restructuring, technological changes, economic reasons, merger, consolidation, or division of enterprises or cooperatives, when unilaterally terminating a labor contract, the employer must notify the employee in advance.

According to the provisions of Article 49 of the Labor Code 2012, the employer shall pay severance allowances to employees who have worked regularly for the employer for 12 months or more, and who lose their jobs as stipulated in Articles 44 and 45, with each year of work entitling them to one month's salary but no less than two months' salary.

The working period used to calculate the severance allowance is the total actual working time for the employer minus the time the employee participated in unemployment insurance as stipulated in the Law on Social Insurance and the period for which the employer has paid severance allowance. The salary for calculating the severance allowance is the average salary under the labor contract for the six months consecutive before the employee lost their job.

2. Benefits for unemployment allowance: According to Circular 04/2013/TT-BLDTBXH dated March 1, 2013, an unemployed person is entitled to unemployment insurance benefits when:

a) They have paid unemployment insurance for at least 12 months within 24 months prior to losing their job or terminating the labor contract or working contract in accordance with the law.

The month of paying unemployment insurance is counted if the employer and the employee have paid unemployment insurance, and the employee has performed the labor contract or working contract for at least one day in that month.

b) They have registered for unemployment at the Employment Service Center under the Department of Labor, Invalids, and Social Affairs of the province or city under central authority (hereinafter referred to as Employment Service Center) upon losing their job or terminating the labor contract or working contract following legal regulations.

c) They have not found employment within 15 working days from the date of registering for unemployment at the Employment Service Center, the first day of the mentioned 15 days being the day immediately after the day the employee registered for unemployment, calculated by working days.

Registering for unemployment as stipulated in Article 34 of Decree No. 127/2008/ND-CP has been amended and supplemented as follows:

Within 3 months from the date of job loss or termination of the labor contract or working contract, if the employee has not yet found a job and wishes to receive unemployment allowances, they must directly go to the Employment Service Center where they worked before losing their job or terminating the labor contract or working contract to register for unemployment.

If an employee wishes to register for unemployment at an Employment Service Center not where they worked before losing their job or terminating the labor contract or working contract, then when registering for unemployment, they must have confirmation of not having registered for unemployment from the Employment Service Center where they worked before losing their job or terminating the labor contract or working contract.

The employee requesting confirmation of not having registered for unemployment follows form 1a issued with this Circular. The Employment Service Center where they worked before losing their job or terminating the labor contract or working contract is responsible for considering and confirming the non-registration of unemployment for the employee according to form 1b issued with this Circular.

The dossier for unemployment insurance according to the provisions of Article 37 of Decree No. 127/2008/ND-CP has been amended and supplemented, including:

a) Request for unemployment insurance according to form No. 3 issued with this Circular.

b) A copy of the expired labor contract or working contract, or an agreement to terminate the labor contract or working contract, or a resignation decision or confirmation from the last unit before being unemployed about the unilateral termination of the labor contract or working contract by foreign law.

At the same time, the employee must present the social insurance book with certification from the social insurance agency about the payment of unemployment insurance or a confirmation from the social insurance agency about the payment of unemployment insurance.

The employee must directly submit the complete unemployment insurance dossier within 15 working days from the date of registering for unemployment (the first day within 15 days is the working day immediately after the employee registered for unemployment).

The Employment Service Center shall only accept the unemployment insurance dossier when the documents are complete according to regulations. After receiving the unemployment insurance dossier, it must return to the employee an appointment slip for the result according to form No. 4 issued with this Circular.

The monthly unemployment allowance based on Article 16, Decree 127/2008 dated December 12, 2008, is understood as the monthly amount paid to employees participating in unemployment insurance when they become unemployed, qualifying for unemployment insurance benefits according to regulations.

The monthly unemployment allowance is 60% of the average monthly salary or wage of the six months consecutive before losing the job or terminating the labor contract in accordance with labor law or terminating the working contract according to the law on officials.

The duration for receiving the monthly unemployment allowance depends on the working period during which the employee paid unemployment insurance, and the total time for receiving the monthly unemployment allowance is executed according to Clause 2, Article 82 of the Law on Social Insurance.

According to Vnexpress

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