Evaluation of unemployment insurance practices in Turkey during the pandemic process from the perspective of workers and employers

The Covid-19 pandemic, which first emerged in the city of Wuhan, China in 2019 and affected the entire world, has caused a global shift in economic and social life. In addition to affecting all aspects of life, the Covid-19 pandemic has also impacted working life, exacerbating the pre-existing unemployment problem in Turkey. The primary goal of unemployment insurance, a part of countries' social security systems rooted in the welfare state's understanding of the social state, is to partially offset the income losses that workers face when they become unemployed. However, during the Covid-19 pandemic, it has been observed that with active and passive employment policies, the unemployment insurance fund provided more support to employers rather than workers. The allowances paid to workers through the unemployment insurance fund to offset their income losses are not sufficient to meet even the most basic needs, such as food, drink, and shelter. For instance, during the Covid-19 pandemic period, the total Cash Wage Support provided to workers for a month under the Temporary Article 24 of the Unemployment Insurance Law No. 4447 falls far below the monthly food expenditure required for a family of four to feed healthily, adequately, and balanced, according to research. Furthermore, this support is also significantly below the combined monthly expenses for other necessities like clothing, housing (rent, electricity, water, fuel), transportation, education, health, etc. On the other hand, when examining the Income and Expenditure Bulletin published by İŞKUR for 2020, the total incentive amount paid to employers is observed to be more than double that of the cash wage support. In light of all this information, it is evident that instead of mitigating income reductions for workers when they become unemployed, the unemployment insurance fund has transformed into a tool primarily supporting employers.