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Unemployment benefit in UK



Unemployment benefits are payments made by governments to unemployed people. It may be based on a compulsory para-governmental insurance system. Depending on the jurisdiction and the status of the person, those sums may be meager, covering only basic needs (thus a form of basic welfare), or may compensate the lost pay somewhat proportionally to the previous earned salary. They often are part of a larger social security scheme.


 


Unemployment benefits are generally given only to those registering as unemployed, and often on conditions ensuring that they seek work and do not currently have a job.


Unemployment benefits in UK

Jobseeker's Allowance (JSA), the primary form of unemployment benefit in the United Kingdom, exists in two forms: income-based and contributions-based. If a claimant has paid enough National Insurance contributions of the correct class in the two complete tax years previous to the claim year in which the claim is being made, and can prove that they are available for work and are actively seeking employment, then they are entitled to contribution-based benefit. If not, and they have a low or no income they receive income-based benefit, but they still have to prove that they are available for and actively seeking work. Benefit levels are lower for those under 25 years old. To keep receiving benefit, a claimant has to visit the Job Centre every two weeks, give details of how they have been looking for work (a "job seeker's diary" is provided), and sign a declaration that they are following their Job Seeker's Agreement (hence the expression signing on).

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