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LEGAL ACTS OF THE REPUBLIC OF LATVIA
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The translation of this document is outdated.
Translation validity: 03.07.2015.–31.12.2016.
Amendments not included: 30.11.2015., 23.11.2016., 08.12.2016., 20.12.2016.

Text consolidated by Valsts valodas centrs (State Language Centre) with amending laws of:

23 November 2000 [shall come into force from 1 January 2001];
9 May 2002 [shall come into force from 1 January 2003];
24 October 2002 [shall come into force from 1 November 2002];
1 December 2005 [shall come into force from 5 January 2006];
7 June 2006 [shall come into force from 4 July 2006];
8 November 2007 [shall come into force from 1 January 2008];
11 December 2008 [shall come into force from 24 December 2008];
19 February 2009 [shall come into force from 1 March 2009];
16 June 2009 [shall come into force from 1 July 2009];
1 December 2009 [shall come into force from 1 January 2010];
20 December 2010 [shall come into force from 1 January 2011];
14 April 2011 [shall come into force from 1 July 2011];
15 December 2011 [shall come into force from 1 January 2012];
15 November 2012 [shall come into force from 1 January 2013];
19 September 2013 [shall come into force from 1 January 2014];
18 June 2015 [shall come into force from 3 July 2015].

If a whole or part of a section has been amended, the date of the amending law appears in square brackets at the end of the section. If a whole section, paragraph or clause has been deleted, the date of the deletion appears in square brackets beside the deleted section, paragraph or clause.

The Saeima1 has adopted and
the President has proclaimed the following law:

On Unemployment Insurance

Chapter I
General Provisions

Section 1. Purpose of the Law

The purpose of this Law is to regulate the procedures by which services intended by State social insurance in case of unemployment (hereinafter - unemployment insurance) are to be provided, to specify the range of persons who are entitled to receive such services and the duties and obligations of such persons.

Section 2. Unemployment Insurance Services

The following unemployment insurance services shall be provided in accordance with this Law:

1) unemployment benefits;

2) funeral benefit in case of the death of an unemployed person (hereinafter - funeral benefits);

3) [1 January 2002/ See Transitional Provisions]

Section 3. Rights to Unemployment Insurance Services

(1) Persons who have obtained the status of an unemployed person in accordance with the procedures specified in the Support for Unemployed Persons and Persons Seeking Employment Law (hereinafter - an unemployed person), are insured against unemployment in accordance with the Law On State Social Insurance and who have the insurance period specified in this Law, are entitled to unemployment insurance services.

(2) In addition to the unemployed persons specified in Paragraph one of this Section, the unemployed persons specified in Section 5, Paragraph three of this Law are entitled to unemployment benefits and the persons specified in Section 12, Paragraph one of this Law are entitled to funeral benefits.

(3) After granting of the status of unemployed person, the person has a one-time right to unemployment benefit.

[9 May 2002; 18 June 2015]

Section 4. Resources for the Financing of Unemployment Insurance Services and Employment Measures

(1) The unemployment insurance services specified in Section 2 of this Law shall be financed from a State social insurance employment special budget (hereinafter - employment special budget).

(2) Resources of the employment special budget shall also be used for financing of active employment measures and preventative measures for unemployment reduction laid down in the Support for Unemployed Persons and Persons Seeking Employment Law, as well as for scholarships during vocational training, retraining and improvement of the professional qualification of unemployed persons and for scholarships during the acquisition of informal education, but not more than 10 per cent from the total amount of resources of the unemployment special budget specified in the annual Law on the State Budget.

(3) [15 December 2011].

[9 May 2002; 7 June 2006; 19 February 2009; 15 December 2011]

Chapter II
Unemployment Benefits

Section 5. Rights to Unemployment Benefits

(1) An unemployed person whose insurance period is not less than one year, if the mandatory State social insurance contributions for unemployment (hereinafter - unemployment insurance contributions) has been made or had to be made for such person in the Republic of Latvia for not less than 9 months during the time period of the last 12 months prior to the day when the status of an unemployed person was obtained, is entitled to unemployment benefits.

(2) If unemployment insurance contributions for an unemployed person have not been made or have been made for less than nine months within the time period of the last 12 months prior to the day when the status of an unemployed person was obtained and if such contributions are made or had also to be made for the period after the day when the status of an unemployed person was obtained, when determining the right to unemployment benefits, the unemployment insurance contributions for a time period of the last 12 months prior to the day of claiming the benefit shall be taken into account, if all conditions for granting of the unemployment benefit referred to in Paragraph one of this Section have been met.

(3) An unemployed person for whom the unemployment insurance contributions are not made or are made, or had to be made less than nine months within the time period of the last 12 months prior to the day when the status of an unemployed person was obtained, is entitled to unemployment benefits if such person belonged to one of the following groups of persons in the relevant period:

1) persons who have recovered the capacity to work after a disability;

2) persons who have taken care of a child with disability up to18 years of age.

(4) A person specified in Paragraph three of this Section shall be granted unemployment benefits if such person has registered with the State Employment Agency for the obtaining of the status of an unemployed person within the time period of one month from the day when such person has recovered capacity for work or from the day when a child with disability that the person takes care of has reached 18 years of age or has died not reaching 18 years of age.

(5) [8 November 2007]

[9 May 2002; 1 December 2005; 8 November 2007; 16 June 2009; 18 June 2015]

Section 6. Insurance Period Giving a Right to Unemployment Benefits

(1) The insurance period giving a right to unemployment benefits shall be formed from:

1) the time periods, for which unemployment insurance contributions are made in accordance with the Law On State Social Insurance;

2) the work periods and periods that are equivalent to work that had been accumulated by 1 January 1991, which are determined in accordance with Paragraph 1 of the Transitional Provisions of the Law On State Pensions;

3) the work periods accumulated from 1 January 1991 up to 1 January 1996, for which social insurance payments are made or had to be made, or the periods that are equivalent to work, which are determined in accordance with Paragraph 2 of the Transitional Provisions of the Law On State Pensions;

4) the periods, for which social insurance payments are made or had to be made from 1 January 1996 up to 31 December 1997 in accordance with the Law On Social Tax.

(2) Insurance period shall be determined:

1) for a person specified in Section 5, Paragraph one of this Law - until the day when the status of an unemployed person is obtained;

2) for a person specified in Section 5, Paragraph two of this Law - until the day of claiming the benefit;

3) [8 November 2007].

[1 December 2005; 8 November 2007]

Section 7. Determination of the Amount of Unemployment Benefits

(1) For an unemployed person who had been an employee during a time period for calculating the average contribution wage which is laid down in accordance with Section 8 of this Law, the amount of unemployment benefits shall be determined in proportion to the insurance period and according to the income, for which unemployment insurance contributions (hereinafter also - contribution wage) are made in accordance with the Law On State Social Insurance:

1) with insurance period from one year to nine years (inclusive) - 50 per cent from the average contribution wage;

2) with insurance period from ten years to nineteen years (inclusive) - 55 per cent from the average contribution wage;

3) with insurance period from twenty years to twenty nine years (inclusive) - 60 per cent from the average contribution wage;

4) with insurance period above thirty years - 65 per cent from the average contribution wage.

(2) For an unemployed person for whom, during the entire time period for calculating the average contribution wage which is laid down in accordance with Section 8 of this Law, unemployment insurance contributions had been made from the State basic budget and for the unemployed persons specified in Section 5, Paragraph three of this Law, the unemployment benefits shall be determined in the amount of 60 per cent from the double amount of State social security benefit, which was in effect on the day when unemployment benefit is claimed.

(3) For an unemployed person for whom, during a time period for calculating the average contribution wage which is laid down in accordance with Section 8 of this Law, unemployment insurance contributions have been made by the claimant of the benefit himself or herself and his or her employer and the State, the amount of the unemployment benefit to be granted shall be determined in accordance with Paragraph one of this Section. In such a case the amount of the unemployment benefit may not be less than specified in Paragraph two of this Section.

(4) [15 November 2012].

(5) [24 October 2002].

(6) For an unemployed person who during entire time period for calculating the average contribution wage which is laid down in accordance with Section 8 of this Law has not been an employee and for whom unemployment insurance contributions have been made from the State social insurance special budget, the amount of the unemployment benefit shall be determined:

1) in accordance with Paragraph one of this section, if contributions have been made from a sickness or maternity benefit;

2) in the amount of 60 per cent from the double amount of State social security benefit in effect on the day when the unemployment benefit is claimed, if the contributions have been made for recipients of the parental benefit.

(7) For an unemployed person who during entire time period for calculating the average contribution wage which is laid down in accordance with Section 8 of this Law has not been an employee, however unemployment insurance contributions have been made from both, the State social insurance special budget and the State basic budget, the amount of the unemployment benefit shall be determined in the same way as in the case when unemployment insurance contributions are made only from the State social insurance special budget in accordance with Paragraph six, Clause 1 or 2 of this Section.

[23 November 2000; 24 October 2002; 8 November 2007; 11 December 2008; 15 November 2012; 19 September 2013; 18 June 2015]

Section 8. Calculation of the Average Contribution Wage for the Determination of the Amount of Unemployment Benefits

(1) In the cases specified in Section 5, Paragraph one of this Law, the average contribution wage for the determination of unemployment benefits shall be calculated from the contribution wage of the insured person for the time period of 12 calendar months, ending such period two calendar months prior to the month in which a person has obtained the status of an unemployed person.

(2) In the cases specified in Section 5, Paragraph two of this Law, the average contribution wage for the determination of unemployment benefits shall be calculated from the contribution wage of the insured person for the time period of 12 calendar months, ending such period two calendar months prior to the month, in which a person has claimed unemployment benefit.

(3) The Cabinet shall determine the procedures for the calculation of the average contribution wage for the specification of the unemployment benefits.

(4) [7 June 2006].

(5) The average contribution wage of a calendar day for the calculation of unemployment benefits shall not exceed 1/365 of the maximum annual amount of the object of the mandatory State social insurance contributions that was in effect on the day when the benefit was claimed.

(6) For an unemployed person who during a time period for calculating the average contribution wage laid down in Paragraph one of this Section has been on a parental leave, on leave without maintaining remuneration for work which is granted in relation to the necessity to take care of the child, or on prenatal or maternity leave, has not been employed and the contributions of the employee and employer for unemployment should not have to be made during this time period, the average contribution wage shall be determined for a 12 months period prior to the period laid down in Paragraph one of this Section from the contribution wage for the last months in which contributions for unemployment have been made or had to be made by the employee and employer. In such a case the amount of unemployment benefit may not be less than the amount of the unemployment benefit which is determined in Section 7, Paragraph two of this Law.

(7) For an employee of a micro-enterprise the average contribution wage for calculation of the unemployment benefit shall be determined from the object of mandatory contributions of State social insurance of the relevant months which is calculated in conformity with Section 9, Paragraph two of the Micro-enterprise Tax Law.

(8) For an unemployed person who during a part of the time period for calculating the average contribution wage laid down in Paragraph one of this Section has been on a parental leave, on leave without maintaining remuneration for work which is granted in relation to the necessity to take care of the child, or on prenatal or maternity leave and the contributions of the employee and employer for unemployment should not have to be made during this time period, the average contribution wage shall be determined without including the days of a parental leave, leave without maintaining remuneration for work which is granted in relation to the necessity to take care of the child, or parental and maternity leave in the time period for determining the average contribution wage.

(9) If during a time period for calculating the average contribution wage laid down in Paragraph one and two of this Section a person has been on a parental leave, on leave without maintaining remuneration for work which is granted in relation to the necessity to take care of the child, or on prenatal or maternity leave, an employer in accordance with that laid down in the collective agreement or employment contract has paid supplements or bonuses to the person for the performance of work before granting a leave or benefits and other type of remuneration which is not directly related to the performance of work, in determining the contribution wage, the contribution wage shall not be taken into account for the abovementioned payments, if such calculation is more favourable for the person.

[23 November 2000; 1 December 2005; 7 June 2006; 8 November 2007; 16 June 2009; 14 April 2011; 15 December 2011; 15 November 2012; 18 June 2015]

Section 9. Duration of Payment of Unemployment Benefits

(1) Duration of payment of unemployment benefit shall be nine months within a time period of 12 months from the day of granting of the benefit.

(2) If within the time period of 12 months a person is being repeatedly granted unemployment benefits, it shall be granted, taking into account the duration in days of the receipt of the preceding unemployment benefits granted in such period.

(3) The unemployment benefit shall be paid in the following amount depending on duration of the unemployment:

1) for the first three months - in full amount of the granted unemployment benefit;

2) for the following three months - in the amount 75 per cent of the granted unemployment benefit;

3) for the last three months - in the amount of 50 per cent of the granted unemployment benefit.

[15 November 2012 / See Paragraph 16 of Transitional Provisions]

Section 10. Suspension and Termination of the Payment of Unemployment Benefits

(1) The payment of unemployment benefit shall be suspended if an unemployed person:

1) enters into a contract regarding paid temporary performance of public works or enters into an employment contract regarding participation in other active employment measures laid down in the Support for Unemployed Persons and Persons Seeking Employment Law;

2) obtains the status of an employee or self-employed person in accordance with the Law On State Social Insurance for a time period of up to two months (inclusive);

3) receives sickness or maternity benefits in accordance with the Law on Maternity and Sickness Insurance.

(2) The time period when the payment of unemployment benefits is suspended shall not be included in the time period referred to in Section 9, Paragraph one and two of this Law.

(3) The payment of unemployment benefits shall be terminated if:

1) a person loses the status of an unemployed person;

2) the State Social Insurance Agency on the basis of the information of the State Revenue Service determines that a person receives an unemployment benefit without justification because such person is in the status of the employee or self-employed person while he or she is receiving the benefit;

3) the State Social Insurance Agency on the basis of the information of the Population Register of the Republic of Latvia shall determines that the recipient of the benefit is dead;

4) a person refuses the unemployment benefit;

5) the State Social Insurance Agency determines that a recipient of benefit is employed in other country.

[9 May 2002; 1 December 2005; 8 November 2007; 11 December 2008; 16 June 2009; 1 December 2009; 18 June 2015]

Chapter III
Unemployment Scholarship

[1 January 2002 / See Transitional Provisions]

Chapter IV
Funeral Benefit

Section 12. Funeral Benefit

(1) In the case of the death of an unemployed person, the family members of such unemployed person or a person who has taken responsibility for the funeral are entitled to funeral benefit if the deceased unemployed person had been a recipient of unemployment benefit or unemployment insurance contributions had been made for such person for not less than 12 months within the time period of 36 months prior to the day when the status of an unemployed person was obtained.

(2) Funeral benefit shall be granted in the amount of triple State social security benefit in effect on the day of the death of the unemployed person.

(3) If there is an entitlement to receive funeral benefit in case of the death of the unemployed person in accordance with the provisions of this Law and other laws, the benefit shall be granted and paid in whichever amount is higher.

[23 November 2000]

Chapter V
Granting and Payment of the Unemployment Benefit and Funeral Benefit

Section 12.1 Claiming of Benefits

The unemployment benefit and funeral benefit shall be claimed in accordance with the procedures laid down in the Law On State Social Insurance.

[18 June 2015]

Section 13. Procedures for the Granting and Payment of Benefits

(1) Unemployment benefits shall be granted:

1) from the day when an unemployed person has submitted an application regarding granting of the benefit, except the case laid down in Clause 2 of this Paragraph;

2) to a person who has become an unemployed person after the termination of work or service on the basis of his or her notice or due to an infringement - from the day when the unemployed person has submitted an application regarding granting of the unemployment benefit, but not earlier than two months after the day when the status of an unemployed person was obtained.

(2) Funeral benefits shall be granted if the benefit is claimed within the time period of 12 months from the day of the death of the unemployed person.

(3) The State Social Insurance Agency shall ensure the granting, calculation and payment of unemployment benefits and funeral benefits in accordance with the procedures specified by the Cabinet. The Cabinet shall determine the documents certifying a right to unemployment benefits and funeral benefits.

[20 December 2010]

Section 14. Payment of Unemployment Benefits for the Past Period

[18 June 2015]

Section 15. Payment of Unemployment Benefits Not Received Due to the Death of the Unemployed Person

In the case of the death of an unemployed person, his or her spouse and kin of first and second degree are entitled to receive the granted amounts of unemployment benefits, which are not paid, if the claim has been submitted within the time period of 12 months from the day of the death of the unemployed person.

Section 16. Recovery of Sums of Unemployment Benefit Paid Without Justification

(1) Deductions from an unemployment benefit may be made on the basis of the adjudications of the court and adjudications of other institutions (officials) which are executed in accordance with the procedures specified in regulatory enactments.

(2) The State Social Insurance Agency shall take a decision regarding recovery of overpayment of the unemployment benefit granted to the person, in order to recover the sums which have been overpaid to the person due to his or her fault, if such person has provided false or incomplete information or has not notified regarding changes that affect the right to the benefit.

(3) If the State Social Insurance Agency determines that a person during the receipt of the unemployment benefit was or is in the status of employee or self-employed person and thus such person has received the unemployment benefit without justification, the State Social Insurance Agency shall take a decision regarding recovery of the amount of the overpaid unemployment benefit during this period on the basis of the information of the State Revenue Service for the periods in which a person is registered as employee or self-employed person, or information received from other State competent institution regarding self-employment in other country.

(4) If, in suspending payment of unemployment benefit, the State Social Insurance Agency determines overpayment of the unemployment benefit, then, in renewing payment of the unemployment benefit, the amount of the benefit to be paid shall be reduced by the amount of the overpaid unemployment benefit.

(5) Overpaid amounts of unemployment benefit shall be recovered in accordance with the procedures and amount laid down in the Law On State Social Insurance.

[11 December 2008; 18 June 2015]

Section 16.1 Repayment of Paid Unemployment Benefits

If, in enforcing the relevant court judgment, settlement with the employer approved by the court or administrative decision taken by a relevant State administrative institution, work income is recovered from an employer and repaid to a person which was paid for forced absence from work during the relevant period of unemployment, the person has a duty to repay the amount of unemployment benefit received according to the procedures laid down by the Cabinet to the State social insurance employment special budget.

[8 November 2007; 18 June 2015]

Chapter VI
Final Provisions

Section 17. Appeal of Decisions Taken Regarding Issues Related to Unemployment Insurance Services

(1) A person may appeal a decision of an official of the State Social Insurance Agency regarding unemployment insurance services within the time period of one month from the day of the decision coming into effect. A decision of the director of the State Social Insurance Agency may be appealed to a court within the time period of one month from the day of the director's decision coming into effect.

(2) [1 January 2002/ See Transitional Provisions]

[1 December 2005]

Transitional Provisions

1. Section 4, Paragraph two of this Law shall come into force on 1 January 2002.

2. Until 31 December 2001, the following active employment measures for unemployed persons specified in the Law On Employment shall be financed from the resources of the employment special budget:

1) the operation of clubs for persons seeking work;

2) vocational counselling measures;

3) vocational training and retraining measures.

3. Section 2, Clause 3; Chapter III and Section 17, Paragraph two of this Law shall be in effect until 31 December 2001.

4. With the coming into force of this Law, the Law On Mandatory Social Unemployment Insurance (Latvijas Republikas Saeimas un Ministru Kabineta Ziņotājs, 1996, No. 1, 22; 1997, No. 3, 13) shall be repealed.

5. For persons that have been granted unemployment benefits up to the day of the coming into force of this Law, the benefit for the unemployment period, which continues after the coming into force of this Law, shall be paid in accordance with the regulatory enactments that were in force on the day the benefit was granted.

6. [24 October 2002]

7. Amendments to Section 4, Paragraph two of this Law in respect of the use of the resources of the employment special budget for scholarships during the acquisition of informal education specified in the Support for Unemployed Persons and Persons Seeking Employment Law shall come into force on 1 July 2006.

[7 June 2006]

8. Amendments to Section 7, Paragraph four, Section 8, Paragraph six and Section 16.1 of this Law shall come into force on 1 January 2009.

[8 November 2007]

9. An unemployed person whose insurance period is not less than one year on 1 January 2008 and regarding whom mandatory social insurance contributions for unemployment have been made or had to be made not less than for nine months within a period of the last 12 months prior to the day of acquiring of the status of unemployed person is entitled to receive unemployment benefit in accordance with regulatory enactment which was in force until 31 December 2007.

[8 November 2007]

10. The restriction of the average contribution wage of a calendar day provided for in Section 8, Paragraph five of this Law which is determined in relation to the maximum annual amount of the object of the mandatory State social insurance contributions shall not be applied to the contribution wage obtained within a time period from 1 January 2009 until 31 December 2013.

[11 December 2008]

11. Amendments to Section 7, Paragraph three, Section 7, Paragraph six, amendments to Section 9, Paragraph three and amendments to Section 16 of this Law shall come into force on 1 January 2009.

[11 December 2008]

12. From 1 July 2009 until 31 December 2011:

1) for the unemployed person with insurance period up to 19 years (including) the total duration of the payment of unemployment benefit shall be nine months;

2) unemployment benefit shall be paid in the following amount depending on the duration of the unemployment for the unemployed person with the insurance period from one to nine years (including):

a) for the first two months - in the full amount,

b) for the following two months - in the amount of 75 per cent of the granted unemployment benefit,

c) for the following two months - 45 lats per month for a person for whom the status of unemployed person is determined until 31 December 2010, or 45 lats per month, however not more than in the amount of 75 per cent of the unemployment benefit granted for a person for whom the status of unemployed person is determined after 1 January 2011,

d) for the last two months - 45 lats per month for a person for whom the status of unemployed person is determined until 31 December 2010, or 45 lats per month, however not more than in the amount of 50 per cent of the unemployment benefit granted for a person for whom the status of unemployed person is determined after 1 January 2011;

3) unemployment benefit shall be paid in the following amount depending on the duration of the unemployment for the unemployed person with the insurance period from 10 to 19 years (including):

a) for the first two months - in the full amount,

b) for the following two months - in the amount of 75 per cent of the granted unemployment benefit,

c) for the following two months - in the amount of 50 per cent of the granted unemployment benefit,

d) for the last three months - 45 lats per month for a person for whom the status of unemployed person is determined until 31 December 2010, or 45 lats per month, however not more than in the amount of 50 per cent of the unemployment benefit granted for a person for whom the status of unemployed person is determined after 1 January 2011.

[20 December 2010]

13. The duration of payment of unemployment benefit shall be extended up to nine months for the unemployed person with the insurance period from one year to 19 years (including) for whom the unemployment benefit has been granted until 30 June 2009 and the payment thereof continues after 1 July 2009, taking into account the duration of the receipt of the unemployment benefits granted within a period of 12 months before 1 July 2009 and depending on the duration of unemployment the unemployment benefit shall be paid in accordance with the specified in Sub-clause 2 and 3 of Clause 12 of these Transitional Provisions.

[16 June 2009]

14. Amendments to Section 8, Paragraphs one, two and six of this Law in respect of changes to the period for calculation of the average contribution wage from six to 12 months shall come into force on 1 January 2010.

[16 June 2009]

15. Until 31 December 2014 the amount of unemployment benefit granted in accordance with this Law shall be restricted in compliance with that laid down in the Law On Payment of State Pensions and State Benefits During the Time Period from 2009 until 2014.

[14 April 2011]

16. The duration of payment of unemployment benefit shall be extended up to nine months for the unemployed person with the insurance period from one year to 19 years (including) for whom the unemployment benefit has been granted until 31 December 2012 and the payment thereof continues after 1 January 2013, taking into account the duration of the receipt of the unemployment benefits granted within a period of 12 months before 1 January 2013 and depending on the duration of unemployment the unemployment benefit shall be paid in accordance with amendments to Section 9 of this Law which come into force from 1 January 2013.

[15 November 2012]

17. The amendment to Section 13, Paragraph two and Section 15 of this Law in respect of the possibility to claim and receive funeral benefit and unpaid unemployment benefit in case of death of the unemployed person within six month shall come into force from 1 January 2017.

[18 June 2015/ The referred to amendment shall be included in the wording of the Law on 1 January 2017]

This law shall come into force on 1 January 2000.

This Law was adopted by the Saeima on 25 November 1999.

President V. Vīķe-Freiberga

Riga, 15 December 1999

 


1 The Parliament of the Republic of Latvia

Translation © 2017 Valsts valodas centrs (State Language Centre)

 
Document information
Status:
In force
in force
Issuer: Saeima Type: law Adoption: 25.11.1999.Entry into force: 01.01.2000.Theme:  Insurance; Labour rights; Social protectionPublication: Latvijas Vēstnesis, 416/419, 15.12.1999.; Latvijas Republikas Saeimas un Ministru Kabineta Ziņotājs, 24, 30.12.1999.
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