Appealing the pay security decision

Detailed instructions on appealing a decision are included with the pay security decision.

Employee filing an appeal with the Unemployment Security Appeal Board

An employee may file an appeal concerning a pay security decision with the Unemployment Security Appeal Board and, based on its decision, with the Insurance Court in cases where:

• the application was rejected because it was submitted late
• the application was rejected because it was not possible to verify the employer's insolvency
• the application was rejected because the claims were not based on an employment relationship
• the application was rejected due to suspected misuse of pay security.

Employee complaint in a court of first instance

If the claim for pay security is rejected because the employer is contesting it, the employee must file a complaint against the employer in a district court in order to maintain his/her right to pay security. If the claim for pay security is rejected because the pay security authority was unable to ascertain its grounds and amount, but the employer has not contested it, the employee must file a complaint in a district court against the state. If the employer has declared bankruptcy, no complaint may be filed - the employee must instead lodge his/her claim in the bankruptcy proceedings.

Following legal proceedings, the employee must submit a new pay security application within three months of the judgement taking effect.

Employer's action concerning recovery

The employer ordered to pay in a pay security decision may apply for an amendment of its payment obligation by filing a recovery action against the state. If the employer has declared bankruptcy, the dispute concerning the payment obligation can be resolved in connection with the bankruptcy proceedings.