Drone threat and earnings-related daily allowance

Topics

• Income security
• Lay-off
• Unemployment

Am I eligible for earnings-related daily allowance if I cannot go to work due to a stay-at-home order or an official recommendation, and my employer is not paying my wages?

In practice, it is very rare that we would pay earnings-related daily allowance due to a stay-at-home order or an official recommendation.

Earnings-related daily allowance is paid for periods of unemployment and layoff. If you cannot go to work due to a movement restriction, this is not a situation caused by a layoff or unemployment. Therefore, as a general rule, you are not entitled to earnings-related daily allowance in such a situation.

However, under the Unemployment Security Act, you may be entitled to earnings-related daily allowance if work and wage payments are completely suspended for a reason comparable to a layoff. In this case, entitlement to earnings-related daily allowance may not begin until 14 days after work has been suspended.

A reason comparable to a layoff refers to the complete suspension of work and wage payments for the reason specified in the first sentence of Section 12(2) of Chapter 2 of the Employment Contracts Act.

According to the aforementioned provision of the law, if an employee is prevented from performing their work due to a fire at the workplace, an exceptional natural event, or another similar cause beyond the control of the employee or the employer, the employee is entitled to receive their wages for the duration of the impediment, up to a maximum of 14 days. Once the employer’s obligation to pay wages has ended for the reason mentioned in the first sentence of the aforementioned provision, the situation constitutes a reason comparable to a layoff as defined in the Unemployment Security Act. We can therefore pay earnings-related allowance only after the employer’s obligation to pay wages has ended.

If the employer considers that the situation does not fall under Section 12(2) of Chapter 2 of the Employment Contracts Act and the employer does not pay wages, there is generally no entitlement to earnings-related daily allowance.

The employment authority assesses whether the situation constitutes a reason comparable to a layoff as defined by the Unemployment Security Act and issues a labor policy statement on the matter that is binding on the fund. You must always register as an unemployed job seeker so that a labor policy statement can be issued.

However, a reason equivalent to a layoff alone is not sufficient for us to pay you earnings-related daily allowance. Other conditions related to payment and eligibility for benefits must also be met.

In addition, when payments begin, there is generally a waiting period equivalent to seven full working days. Situations related to the drone threat are hopefully short-lived. In that case, the waiting period would not have elapsed, so the waiting period would prevent payment.