3.3.1.3. Contents

Ordinary unemployment benefit concerns all employees who find themselves involuntarily deprived of employment. Workers who resign or are dismissed on the grounds of misconduct are considered as involuntarily unemployed after a waiting period of one month.

To qualify for the ordinary compensation scheme for being unemployed, the person concerned must meet the following conditions:

Pregnancies and post-natal periods, military service, periods of work abroad in countries with which Italy has no bilateral social security agreements and periods of illness are also counted as contributory periods in calculating the period of two years of contribution giving entitlement to benefits.

The base rate for calculating standard unemployment benefit was set at 27% of the income subject to contributions earned during the three months immediately prior to unemployment for the period from 1.1.1994 to 30.6.1994, and at 30% from 1.7.1994 to 31.12.1994; the calculation is based on the number of working days. The wage compensation benefit is granted in line with the number of compensatory hours approved. The maximum value of the benefit is ITL 1,500,000 per month; this is available to those whose gross earnings as used to calculate standard unemploy-ment benefit exceed ITL 2,700,000 (Art. 1, § 2, Law 427/80; Art. 1, § 6, Decree-Law 40/94).

The benefit is paid from the eighth day after termination of work, for a maximum of 180 days in a year, including Sundays and holidays. It also continues to be paid in case of illness if this is declared after the start of the period of unemployment, in as far as the unemployed person does not receive other social security benefits.

If the insured person does not submit his/her claim within 60 days of becoming unemployed, he/she loses his/her entitlement to unemployment benefit.

The period of entitlement to unemployment benefit is reduced to 30 days in the case of persons who resign of their own free will or are dismissed for gross misconduct.

During the period of compensation the unemployed are entitled to family allowances for their dependants.

The unemployed who receive unemployment benefit for the period from 18 to 24 December are granted an additional so-called "Christmas allowance" equivalent to six times the total daily allow-ance of unemployment benefit and, if applicable, family allowance.

On reaching retirement age, the unemployment benefit cannot be drawn at the same time as the retirement pension paid by the INPS; it can, however, be drawn together with other indirect pensions paid by other organisations or funds.

3.3.1.4. Financial resources

The fund, instituted within the INPS, receives its revenue from employers' contributions and a state subsidy.

3.3.1.5. Duration

The provisions regarding ordinary unemployment benefit are applicable for an unlimited period.

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