Unemployment Insurance

Posted in Human Resource Terms, Total Reads: 434

Definition: Unemployment Insurance

Unemployment insurance is a source of income for unemployed workers who have lost their jobs for no fault of their own. Workers whose employment has been terminated because of poor performance or who quit voluntarily are not eligible for the insurance. Self-employed workers are also not eligible.

Generally, unemployment insurance pays the workers half of their previous monthly earnings helping them seek re-employment. For this, the employee must prove that he/she has been trying to seek employment for suitable jobs.

Unemployment insurance is paid by the state or authorized bodies based on a system designed by the government. The sum paid generally covers an employee’s basic needs alone or is a percentage of his/her previous salary.



Looking for Similar Definitions & Concepts, Search Business Concepts