Cyprus Mail

Coronavirus: labour ministry issues FAQ on allowances

The ministry of labour

The labour ministry on Thursday issued an FAQ related to support programmes to deal with the effects of coronavirus


How was the special benefit paid to me calculated? What period / date was taken into account?

Special Unemployment benefits: For those who meet the insurance conditions of 2018 (e.g they had contributions to the Social Insurance Fund for more than 13 weeks in 2018), then the insurance earnings for the whole year 2018 are taken into account, in the same way the Social Security Law provides for such benefits.

To calculate the Special Unemployment Benefit, the total earnings for the whole year 2018 are taken into account, divided by 52 weeks (total weeks of the year) and by 6 days (working days of the week) and multiplied by the number of days the special benefit was requested. The Special Unemployment Benefit is equal to 60% of the result of the above calculations, with a maximum limit of €1,214 for a period of one month.

* Maximum weekly earnings are applied according to the Social Security Act.

For those who do not meet the insurance requirements of 2018 based on the Law on Social Insurance and would not be entitled to any unemployment benefits, the earnings in which a contribution was made to the Social Insurance Fund for January 2020 are identified and the special unemployment allowance equals 40 per cent of real January 2020 earnings.


Special Sickness Allowance: The method of calculating the Special Sickness allowance, both for employees and self-employed workers, is the same as for the calculation of the Special Unemployment Benefit, without calculating any allowance for the first three days of the eligible period. The provisions of the Social Insurance Law on how to calculate the sick leave allowance for employees are also observed.


Special Child Care Allowance: The Special Child Care Allowance is calculated on the basis of the applicant’s actual earnings declared at the Social Insurance Fund for January 2020. For the first €1,000 of the monthly salary, the beneficiary will receive a 60% allowance for that part of the salary. For the part of the salary from € 1,000 to € 2,000, the beneficiary will receive a bonus of 40%. The maximum amount of allowance for a period of one month may not exceed € 1,000 and the final amount paid corresponds to the number of days for which the application was submitted.

For single-parent families, the above percentages increase to 70% and 50% respectively and the maximum allowance amount for a period of one month may not exceed € 1,200.


Special Self-Employed Allowance: The Special Self-Employed Allowance is estimated at 60% of the actual earnings for the last quarter of 2019, with a minimum of €300 for 4 weeks and a maximum of €900. As with all other special allowances, the payment only applies on the days for which the application was submitted.


How many days does the allowance I received correspond to?

The allowance paid corresponds to the entire period for which your application was submitted, which relates to the period between 16 March 2020 and 12 April 2020. The special allowances are not paid in instalments.


I did not receive any message on my cell phone about any problems, nor any allowance. Do I have to do anything else?

Special allowances are constantly being paid. If you have not been asked to change any details of your application, you do not need to take any action. If you need to enter new or additional information, you will be notified by text message.


Should I submit a new application for the special allowance I received by 12/4/2020?

The decision for the extension of the scheme includes their amendments. Relevant announcements will be made soon on how to expand the scheme and the obligations of the beneficiaries / applicants.


When will my allowance be paid for the next period?

The next payment of special allowances is expected to take place around mid-May. Relevant announcements will be issued at a later stage.


I was getting a regular unemployment benefit and now I don’t have any income, nor can I find a job. Is there any assistance for me? / Will there be an extension of unemployment?

The ministry of labour is studying ways to support the unemployed. Relevant announcements will be made soon.

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