How to Get Unemployment Compensation When You Lose Your Job During a Pandemic

The flu pandemic has affected the lives of millions of people around the globe, causing vast damage to corporate entities and public agencies. With more businesses getting hit by the lack of profits, they are forced to lay off employees amid the pandemic.

Because of this, most affected employees apply for unemployment compensation. To combat the impact of unemployment, the government of India pledged to help workers impacted by the flu pandemic.

Are you one of those affected? Read on and find out how you can get unemployment compensation when you lose your job during a pandemic.

Get Unemployment Compensation

What is Unemployment Compensation?

The central government of India extended the Atal Beema Vyakti Kalyan Yojana scheme, self-financing insurance for formal sector workers in India.

It provides compensation in the form of cash for up to 25 percent of your average salary for the past two years.

This salary is given per individual in order to help sustain food, shelter, and other needs. The scheme also allows cash assistance for a period of up to three months of unemployment.

This insurance policy can help an estimated 25 million unemployed during this flu pandemic. As the number of affected companies increases in India, the government pledges to extend help to not only companies but also workers.

Who Can Avail of Unemployment Compensation?

According to the Employees State Insurance Corporation (ESIC), workers who can avail of the unemployment compensation must have been a subscriber of the ESIC for at least two years. This benefit can only be availed once in a lifetime.

While the coverage of the compensation is limited, around 98 percent of employees are expected to get compensation.

The flu pandemic impact can reach an unemployment rate of 25 million people, a close number to 2008’s 22 million people who lost their jobs due to the global financial crisis.

How to Get Unemployment Compensation

Rules are yet to change as government officials push for a 50 percent salary draw for three months. Workers can already visit the website of ESIC to inquire about the unemployment compensation package.

ESIC will set the guidelines for availing and the verification of each policyholder. All the important information is posted on their website.

Other Ways to Get Financial Assistance During a Pandemic

The government of India encourages employers to avoid salary deduction at this rough time. However, many companies are left without a choice. To get financial assistance, you can do the following.

Apply for a Loan

Now’s the time to get a low-interest loan provided that you have complete requirements. The government mandates banks and lenders to provide below minimum interest rates for loans and other banking products.

If you plan to apply for loans, note that the amount you can borrow is limited. This is because banks are trying to scatter the funding to as many people as possible. More people can get equal chances of getting approved for loans.

Avail of Government Financial Assistance

Aside from unemployment compensation, the government also provides financial assistance to people who are in need of cash.

Because the country’s economy is severely affected, the government can only provide partial financial assistance at the moment.

You can try to contact the ESIC about other forms of compensation you can receive. The organization provides detailed information on the policies set by the government to aid people suffering from lack of income amid the flu pandemic.

Getting a Job

The last resort would be finding a new job. With a work-from-home setup, you can take advantage of the job opportunities offering the same benefit. Jobs online are scarce but you can still try to find one.

While most of the companies in India are suffering, there are also others that are thriving at this time. Check out online job-hunting sites to land a job today.

Find Job, Uneployment Compensation

Bottom Line

The flu pandemic sure paralyzed the Indian economy but with the help of the government, people can get cash assistance. The Unemployment Compensation provides up to 25 percent of the salary for three months to aid the workers and their families.

For more information on this insurance, check out the website of ESIC today.