New payment system for unemployment insurance funds The SECO unit responsible for the labour market and unemployment insurance has been working hard since 2017 to develop a new system for the processing and payment of unemployment benefit. Known as SIPACfutur, this system has been developed in partnership with the enforcement offices. In 2023, the system currently used to manage beneficiaries will be replaced by a new, more efficient solution with better user acceptance and improved process orientation.
The SIPACfutur project plan envisages a staggered rollout of the new payment system for unemployment insurance funds (SIPAC 2.0). Part 1 comprises the benefit types short-time working compensation and bad-weather compensation. Part 2 comprises unemployment benefit and insolvency compensation, and international affairs. The precise schedule for the two implementation steps will be determined by the way in which the Federal Supreme Court judgment of 17 November 2021 is implemented (see SECO press release dated 27.01.2022: Kurzarbeit: Abrechnungsverfahren nach Bundesgerichtsentscheid angepasst). According to this ruling, vacation and public holiday pay must be taken into account when calculating short-time working compensation (KAE) for employees on a monthly salary using the summary procedure.
On the basis of the Federal Council’s policy decision on implementation of the Federal Supreme Court ruling with regard to settlement of KAE for 2020 and 2021 (see press release of 11 March 2022: Unternehmen können Nachzahlungen bei der Kurzarbeitsentschädigung beantragen), the implementation planning will be finalised, coordinated with the unemployment insurance funds, and subsequently submitted to the Supervisory Commission for the Unemployment Insurance Fund for approval (expected in June 2022). The unemployment insurance funds will be informed about the status of planning on an ongoing basis so that they have sufficient time to make the organisational changes and put in place the measures necessary for implementation
The SIPAC 2.0 solution has already achieved a high level of maturity. Feedback on the current status from managers and experts from the unemployment insurance funds and SECO TC has been positive.
By utilising integrated, digitalised and validated processes, the new SIPAC 2.0 payment system aims to speed up processing of unemployment insurance, reduce administrative errors and improve legal compliance. To achieve these goals, extensive use is being made of the benefits of digitalisation. The focus is on the following aspects:
• Online services for insured persons: In future, insured persons will be able to make enquiries and consult their data and documents online. The system will allow automatic processing of most of the data uploaded to the portal by the job-seeker.
• Digitalisation of data management: when correspondence is received in the post, the data will be systematically digitalised and registered in the system using a text recognition tool with an advanced data analysis function.
• Integrated processing: in future, users will be guided through the SIPAC system by harmonised processes, without redundancies or the need to switch to different systems. Both beneficiaries and third parties will be integrated into the process. In addition, the system will have strong software to detect abuse and ensure compliance.
• Digitalisation of data output: information and documents aimed at beneficiaries and third parties will also be available digitally. It will no longer be necessary for the insurance funds and regional employment centres to sign the documents produced, so they can be transmitted directly to users.
The support provided by the new system will, in the medium to long term, reduce the administrative workload of unemployment insurance funds. Interaction of the various functions of SIPAC 2.0 will simplify their day-to-day work.
