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The Lithuanian experience of coordination of unemployment benefits Vytautas Juršėnas

Organisation and coordination of a network on the EU coordination of social security schemes in EU/ EEA /CH training and reporting on European Social Security tr ESS III. The Lithuanian experience of coordination of unemployment benefits Vytautas Juršėnas

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The Lithuanian experience of coordination of unemployment benefits Vytautas Juršėnas

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  1. Organisation and coordination of a network on the EU coordination of social security schemes in EU/EEA/CH training and reporting onEuropean Social SecuritytrESS III The Lithuanian experience of coordination of unemployment benefits Vytautas Juršėnas Lithuanian Labour Exchange under the Ministry of Social Security and Labour Republic of Lithuania 2012

  2. Contents Competent institutions Legal base Statistics Our experience Jobseekers Internal system Using EURES Institutions of member states Main issues

  3. Competent institutions (1) • Lithuanian Labour Exchange under the Ministry of Social Security and Labour (tasks: to communicate with member states (MS), to coordinate). • 10 Local Labour Exchanges (to communicate with MS, to admit jobseekers, to create the forms - certificates U PD, E series, SEDs). • 45 branches of those 10 Labour Exchanges (to admit jobseekers).

  4. Competent institutions (2) • From 01 10 2010 Lithuanian EURES service deals with the coordination of unemployment insurance benefits (applying European Social Security regulations, issuing forms, etc.). • EURES service is a division in Lithuanian Labour Exchange. EURES provides information about living and working conditions in MS, spreads information about vacancies in other MS. • 10 EURES advisers work in all Local Labour Exchanges (free of charge, no registration needed).

  5. Legal base (EU/international law) • EC Regulations № 883/2004, № 987/2009. • EEC Regulations №1408/71, № 574/72. • Another relevant Regulations (№ 859/2003,№ 780/2009, № 1231/2010). • Administrative Commission decisions and recommendations, • Decision U4 (concerning reimbursement procedures).

  6. Legal base (national law) • Labour Code • Law on Unemployment Social Insurance • Law on Support for Employment • An instruction for implementation of Social Security Regulations regarding unemployment benefits (with annexes - application forms), latest version is valid since 2011. • Descriptions of duties for EURES advisers and other employees. • A special memo for the person who exports his or her unemployment benefit.

  7. Unemployment social insurance benefit in Lithuania • Main requirement of the application for unemployment social insurance benefit (in national law) in Lithuania is at least 18 months of unemployment insurance during the last 36 months. • There are additional requirements. • Usually the benefit belongs to an unemployed person after 8 days of registration. • In most cases benefit is paid for 6 months. Amount varies from 650 to 350 Lt per month (188 EUR – 101 EUR).

  8. Unemployment statistics • 242,1 thousand unemployed (11,71% of the workforce) as of 5th April 2012 (slow decrease, further expected). • 38318 unemployment social insurance benefits being paid as of end of March 2012 (for approx. 16 % of registered persons).

  9. Coordination statistics (1) 2011: • 289 formsissued, 401 received (insurance periods). • 274 forms issued, 189 received (benefit export). • 91 forms issued (family members) 2012 first quarter: • 106 forms issued, 155 received (insurance periods) • 75 forms issued, 29 received (benefit export) • 8 forms issued (family members)

  10. Coordination statistics (2) Data about former Lithuanian unemployment insurance periods is mostly required by: • Ireland, Germany, Norway, Spain. MS that receive the most applications from us: • The United Kingdom, Ireland, Germany, Denmark. Forms are needed mostly for jobseekers aged 26-35 (almost 50 %). We issue more forms for females, but receive more forms regarding males.

  11. Our experience: transition to the new Regulations A special seminar for the employees of our 45 local offices was held in April 2010. Since the beginning of this adoption: • We accept all the forms (U PD series, SEDs, E series) or related documents, if the information is correct and understandable. • We are able to send all related forms (but still prefer to use E 301).

  12. Our experience: jobseekers • Jobseekers may receive the needed forms in any of our 45 branches; they may also provide their documents in any of them. • An email is sufficient to apply for a form concerning the work and unemployment insurance periods (E 301, U1 PD). • We support the opinion that a jobseeker may choose to ignore his latest work or insurance period in another MS, if that gives an advantage for him. • We have a webpage dedicated to the relevant information.

  13. Our experience: internal system • Local Labour Exchanges are allowed to exchange the needed forms and documents with the MS institutions directly. • Local Labour Exchanges may reimburse amounts directly for the MS institutions. MS institutions make transfers to Lithuanian Labour Exchange. • We have an internal online database, where the central institution can track all relevant cases. • We collect the relevant data regarding the implementation of Social Security Regulations every quarter.

  14. Our experience: using EURES Using EURES network for unemployment benefit coordination ensures: • Good internal communication, quick problem identification and solving. • Ability to share the experience more easily, as well as introduce new employees to the work. • We may easier receive help from MS EURES advisers. EURES advisers are well suited to help the jobseeker who came from another MS, or is going to it. They also are more capable to provide a sufficient service for a foreign jobseeker (who cannot speak Lithuanian).

  15. Our experience with MS institutions • We communicate in English, and also in German, French, Spanish, if needed. • When needed, we issue forms in another languages. • We prefer to contact by email. • We need to receive the signed and stamped forms by post, but we also ask foreign institutions to send the forms by fax or email simultaneously.

  16. Main issues (1) Concerning the EEC Regulation № 1408/71 Article 70 (benefit export, forms E 303) • Differences in calculations in reimbursement cases Responsibility for bank transfers costs in reimbursement cases. • Long periods to wait for reimbursement. • Information about family members are not our sphere.

  17. Main issues (2) • Slow communication with MS. • Some MS institutions are not familliar with the rights, granted by the Social Security Regulations. • Implementation of Regulation № 883/2004 Article 65. • Implementation of Regulation № 987/2009 Article 72 (not likely to be used successfully because of restrictions in our national laws). • Collecting the information about jobseeker’s family members.

  18. Main issues (3) • Missing or erroneous information in forms or applications. • More paperwork because of prolonged need to keep using the paper SED forms (intended to be online forms). • The jobseekers still lack the information about their rights to apply for the unemployment benefit in the last MS of their activity.

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