The welfare ministry is poised to slash unemployment benefits for certain recipients because the prolonged high jobless rate is putting a severe strain on the employment insurance program, ministry sources said Thursday.
The Health, Labor and Welfare Ministry is mulling overhauling the system mainly by cutting jobless benefits for recipients aged 60 to 64 and those who received high incomes before losing their jobs, as well as by shortening benefit payout periods for all recipients with employment insurance, the sources said.
The insurance is mandatory for workers and is managed by the ministry. The benefits, which include a daily maximum of 9,725 yen, can be paid for up to 330 days. They cover 60 percent to 80 percent of recipients' former salaries.