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Until when can I apply for aid for cessation of activity?

Posted: Tue Jan 28, 2025 9:39 am
by najmulislam
Losing a job or having to stop our activity as a self-employed person is an unpleasant moment in many cases. Fortunately, the Self-Employed Workers Statute has established fair rules to achieve effective equalisation of self-employment with salaried work, in terms of social protection.

According to the Ministry of Labour and Social Economy , the purpose of the benefit for cessation of activity is to cover situations of termination of the activity of self-employed persons caused by a situation that is in any case involuntary and which must be duly justified in order to access the corresponding economic benefit.

This benefit will be managed by the mutual insurance companies collaborating with Social Security and the Social Institute of the Navy, with the collaboration of the public employment services of the Autonomous Communities.

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Who can apply for this aid?
Protection for cessation of activity is contemplated in pakistan number data many cases, but in all of them certain requirements must be met. In addition, it will be a necessary requirement to have paid contributions for cessation of activity for a minimum period of 12 consecutive months immediately prior to cessation.

How to apply for benefits
You have the right to request this benefit from the day after the closure caused by the restrictions approved by the authorities or from June 1 if a suspension of activity prior to the regulation is maintained. To request it, we must do so before the mutual insurance company within 21 calendar days following the resolution or before June 21 when the suspension of the activity is prior to June 1 and you are not receiving the extraordinary benefit of Royal Decree Law 2/2021.

It can also be submitted to the State Public Employment Service, if the coverage for the contingency of cessation of activity is arranged with the INSS (according to Royal Decree Law 28/2018, you must choose a collaborating Social Security Mutual Insurance Company, taking effect from June 1, 2019). Also at the Social Institute of the Navy, if it is the entity that covers said contingency.

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Amounts and payment
The amount of the benefit will be 70% of the regulatory base; this is calculated using the average of the bases for which the worker has paid contributions during the 12 months prior to the legal situation of cessation of activity.

The minimum amount will be 80% of the public indicator of multiple-effect income (IPREM) if the self-employed person does not have dependent children, and 107% if he or she does. The minimum amount will not apply to self-employed persons who contribute on a basis lower than the minimum. The maximum amount will be 175% of the (IPREM). If he or she has one dependent child, the maximum amount will be 200% and if he or she has more dependent children, it will be 225%.

The benefit will be paid by the mutual insurance company with which the worker has coverage for the contingency due to cessation of activity, or by the State Public Employment Service, if it is covered by the INSS, or by the Social Institute of the Navy, if it is the entity that covers said contingency. The worker will begin to enjoy the benefit from the day after the termination occurred, if the application is submitted within the deadline.