Termination Agreement, End of Service Benefit, Credit, Denial and Reduction Period

The majority of employment relationships end without severance pay. It is important to keep it. But when will that count into unemployment benefits 1? Do I pay unemployment benefits as soon as the unemployment starts? How long is it paid?

You have entered into a termination agreement with your employer and have negotiated compensation payments to end the employment relationship. All tax-related questions have been made clear – and the first thing the Federal Employment Agency wants to know from you is whether you have been overpaid, and if so, what it is.

The first question that arises: Is the end of service gratuity taken into account, i.e.: Is that Cut unemployment benefits?

Basically: no. However, one condition must be met: the employment relationship must not have ended earlier than it would have ended if the employer had given notice. Example: You have a regular six-month notice period until the end of the quarter. On 25 06 you sign your Termination Agreement, with which it is agreed to terminate the employment relationship on December 31st. of the year. Can the Federal Labor Agency require you to “live” on your severance payments? Is severance pay appropriate to receive unemployment benefit 1?

Answer: No. If your employer tells you on 25.06. If it had been terminated, the working relationship would have also ended on December 31. Done. So you will not be unemployed before one day.

What happens if the employment relationship ends earlier than what is contractually/legally stipulated? How is it only then later Unemployment benefit being paid to me?

This is the so-called “rest”, provided for in Article 158, paragraph 1 SGB III: unemployment benefit I is paid in full, but not immediately after registration as an unemployed person, but only shortly thereafter. The length of the “break” is calculated in accordance with Section 158 Paragraph 3 SGB III and depends on several factors: how old the employee is, how long he has worked in the company, how high his unemployment benefit is. Roughly speaking: the longer the employee has been employed in the company and the older he is, the less the credit; The range is from 25-60%. This amount is divided by the daily unemployment benefit and then gives the period of “rest”, a stage in which unemployment benefit is not paid. During this time, the unemployed person has health insurance, Article 5 Paragraph 1 No. 2 SGB V. Payment of unemployment benefit 1 has been postponed; It does not start directly with the first day of unemployment, but only after that. Accordingly, it also ends later.

Separate from this is the time of blocking and reducing.

Ban time is the time when unemployment benefit is not paid. This is required because the unemployed person has acted “in violation of insurance”, § 159 SGB III, length varies.

Perhaps the most famous of the bans isThe unemployed person terminated the employment relationship or caused the termination of the employment relationship through conduct contrary to the employment contract and thus intentionally or grossly negligently caused unemployment (a period of prohibition upon leaving employment). The simplest case: the unemployed person gave notice, entered into a termination agreement, or gave the employer a reason to terminate normal or unusual service because of the conduct.

However, there is an important reason for this behavior that allows omitting block time:

The case law accepts z. B. That the employee had to change his place of residence for private reasons or that the employer categorically promised the normal termination for operational or personal reasons or that the employee had a firm prospect of another job (which then failed). Be careful with bullying as an important reason: What is “bullying” and what isn’t is often a matter of opinion.

Warning: the ban time expires “according to the calendar” and ” It begins the day after the event that justifies the ban period … ”. What is embarrassingly phrased in clause 159 para. 2 SGB III often leads to a misunderstanding: if you conclude a termination agreement, for example, the ban period begins one day after the conclusion of The contract, it does not matter whether you already receive benefits from the employment agency or not.In the ideal case, the ban period (maximum 12 weeks if you leave work) has already expired when you first inform the employment agency.

Blocking time always reduces Section 148 SGB III.

You cannot avoid them. It is partially sensitive: according to Article 148 No. 4 SGB III, it is “number of days off from duty; However, in cases of a twelve-week ban period, at least by a quarter of the benefit period to which the unemployed person is entitled when the conditions for entitlement to unemployment benefit have been met for the first time after the event justifying the withholding period…” In the above example, it does not start on the day after the conclusion of the contract, but only on the day the unemployed person submits his reports to the employment agency.

Reduction can lead to significant losses, especially for older employees:

This is because older workers can have a regular vesting period of up to 24 months; Regulated in § 147 SGB III:

After compulsory insurance relations for a total period of not less than … months After completing … a year of life The unemployment benefit period … months
12 6
16 VIII
20 10
24 12
30 50 15th
36 55 18
48 58 24

In other words, a 58-year-old employee would theoretically have a vesting period of 24 months, but in the event of self-resignation, you would lose six months (a quarter of the vesting period) instead of 12 weeks.

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