Ministry of Labor to consider manifold increase in unemployment payments

Credit: Alexey Sukhorukov | RIAN

Russian trade unions insist that unemployment benefits in the country should be increased several-fold, with payments to total between RUR 12K and 51K ($164-695).

The proposal for raising unemployment benefits in 2021 has been made by the Federation of Independent Trade Unions of Russia. The amount of such payments is set annually by the Government; yet, officials also consider the opinion of trade unions as well as of members of the business community, the Izvestiya newspaper reported.

According to the Federation, the minimum payment should equal the subsistence level in the region in the previous year’s second quarter, while the maximum pay should reach the average wage in the territory. Benefits should compensate for at least half of the lost earnings.

The Ministry of Finance has assured it will carefully consider all proposals. Work is underway to develop a draft resolution and discuss benefit amounts, which have already been raised earlier this year.   

Currently, the minimum unemployment benefit in Russia is RUR 4,500 ($61), while the maximum amount totals RUR 12,100. In case the benefit calculation procedure proposed by the Federation gets approved, each region will pay different amounts.

In Moscow, unemployed individuals will receive at least RUR 19,500 ($265), with the maximum payment reaching RUR 91,800. Overall, some RUR 420 bln ($5.7 bln) may be required for benefit payments next year.

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