Azerbaijan creates insurance fund for payment of unemployment benefit

Labour and Social Policy Committee of the Azerbaijani parliament has today discussed a new draft law on “Insurance against unemployment”.

Chairman of the Committee Hadi Rajabli said the draft law, which contains four chapters and 26 articles, the details on the creation of insurance fund for payment of unemployment benefits and financing of this fund. It has been developed for the prevention of unemployment and staff reduction.

The law determines the sources for payment of unemployment benefit in Azerbaijan in its article #21 (sources for insurance against unemployment).

The sources are:
- Premiums;
- Receipts from administrative penalties provided in the Code of Administrative Offences for violation of requirements of this law;
- Grants, donations, aids in accordance with the Law on Grant;
- bank loans;
- other sources considered accordingly to law and by relevant executive body.

MP Rajabli noted that AZN 90 million will be accumulated in insurance fund: “So, unemployment benefit will be thrice more than 2016.”

The draft law was adopted after a vote.
(News.az)