Untitled Document






Also called Unemployment Insurance or Involuntary Separation Benefit

It is a cash benefit granted to covered employees, including kasambahays and OFWs (sea-based and land-based) who are involuntarily separated from employment (e.g. due to retrenchment or downsizing, closure or cessation of operation, installation of labor-saving devices, redundancy, etc.)

Qualifying Conditions

Member should not be over 60 years old at the time of involuntary separation; not over 50 if an underground or surface mineworker; and not over 55, if a racehorse jockey.

Member has paid at least 36 monthly contributions, 12 months of which should be in the 18-month period immediately preceding the month of involuntary separation.

An employee shall not be qualified to receive the benefit if he/she has been involuntarily separated from employment due to the following:

  • Serious misconduct;
  • Willful disobedience to lawful orders;
  • Gross and habitual neglect of duties;
  • Fraud or willful breach of trust/loss of confidence;
  • Commission of a crime or offense; or
  • Analogous cases like abandonment, gross inefficiency, disloyalty/ conflict of interest/ dishonesty.

Amount of Benefit

If qualified, the employee is granted an amount that is equivalent to twice the half of the member’s average monthly salary credit (AMSC).

The benefit is granted thru a one-time payment, and the claim must be filed within a year from the date of involuntary separation.