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Old 10.06.2021, 17:35
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Unemployment indemnity

Dears,

I am going to sign a new contract and quit my current job but I have a long notice period and anything can happen to my new contract before the new job starts.
Should the new employer cancel the new employment contract during my notice period, am I entitled to the full unemployment benefits?

BR,
Josh
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Old 10.06.2021, 17:45
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Re: Unemployment indemnity

If you cancel the old contract and the new contract does not happen, you will get nothing out of the RAV (or with a serious delay), because you caused the problem.
I would not cancel the old contract before i got a new contract from another company on my desk.
So you can hire a lawyer to get payment from your new company.
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Old 10.06.2021, 17:58
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Re: Unemployment indemnity

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If you cancel the old contract and the new contract does not happen, you will get nothing out of the RAV (or with a serious delay), because you caused the problem.
This. I don't believe you would get anything out of either employer, either: not the old employer because they have no further responsibility for you once your notice period is over, and not the failed new employer because they're free to cancel the contract if they want to, as are you.

Or else, if they've decided they don't want to employ you after all, but think you'll try to go the lawyer route (which I would not advise) and they don't want to waste money on that, they could just not bother to cancel the contract, at all, and let you start, and then dismiss you (as they are free to do) within the probationary period.

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I would not cancel the old contract before i got a new contract from another company on my desk.
I agree with this. It is a good policy in life, in general, always to get one employment contract settled and signed, before dissolving the other. Exceptions, of course, are for those people who're genuinely resigning to go and do something else, like study, travel or start a business.
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Old 10.06.2021, 18:10
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Re: Unemployment indemnity

OP specifically said "Should the new employer cancel the new employment contract during my notice period, am I entitled to the full unemployment benefits?" - clearly they will sign the new contract and then resign.

If the new employer gives notice on the new contract then that's OK for RAV, not the OPs fault.

There's also different views on when the new employer can give notice (whether before the person starts or not), but probably the contract has the usual trial period during which there's a very short notice period so it's pretty much irrelevant.
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Old 10.06.2021, 19:15
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Re: Unemployment indemnity

Just as an aside, I was once waiting on a promised contract renewal and then the approval never came and I found myself out of work. With some evidence the RAV accepted the circumstances and I wasn't penalised.
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Old 11.06.2021, 14:59
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Re: Unemployment indemnity

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OP specifically said "Should the new employer cancel the new employment contract during my notice period, am I entitled to the full unemployment benefits?" - clearly they will sign the new contract and then resign.
If the new employer gives notice on the new contract then that's OK for RAV, not the OPs fault.
Yes that was exactly my point. So the new contract is about to be signed and notice period is one month for the new contract, but four months notice for the existing contract with previous employer. If the new employer fires me prior to the start of the new job due to a change in market conditions whatsoever, will I be entitled to full employment benefits?
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Old 11.06.2021, 15:28
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Re: Unemployment indemnity

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Yes that was exactly my point. So the new contract is about to be signed and notice period is one month for the new contract, but four months notice for the existing contract with previous employer. If the new employer fires me prior to the start of the new job due to a change in market conditions whatsoever, will I be entitled to full employment benefits?
I think I misunderstood your opening post. Do you mean this?
  1. Employed, now, mid-June, at A, with 4 months' notice: July, Aug, Sept and Oct.
  2. New contract signed and sealed with B, to start 1st Nov.
  3. Notice given at A before 1st July, to end 31st Oct.
  4. On 20th Aug, B cancels the new contract.
If that happens, then the RAV considers it your duty to immediately begin looking for a new job. This may also include reporting your situation to the RAV, in case they can recommend a job for you.

If, by the time 1st Nov rolls around, you have not found anything, and if you can document that starting without delay, from 20th Aug, and all through Sept and Oct, you have been fully engaged in making the proper efforts to find a replacement job then, yes, I would think that you would be entitled to employment benefits (as long, of course, as you fulfil all their standard minimum requirements of length of contribution, etc.)
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Old 11.06.2021, 23:14
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Re: Unemployment indemnity

You could also negotiate with your new employer that if they cancel the contract before your start date, they would pay you 3 month's notice. I have had candidates ask this as it's CoVid times and all are scared and we included this special deal
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Old 22.06.2021, 07:24
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Re: Unemployment indemnity

Thanks all, now clear indeed.
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