Nordic citizens working in the Faroe Islands are entitled to benefits from the Faroese Unemployment Scheme - ALS - if they become unemployed.
Non Nordic citizens with a temporary work permit in the Faroe Islands are not entitled to unemployment benefits from the Faroese Unemployment Scheme.
A fee for the Unemployment Insurance Scheme is automatically withheld by the tax system from all wages paid to registered residents in the Faroe Islands. Foreign citizens with a temporary work permit can apply for assemption from paying this fee.
Employees who are dismissed from their job and have the right to unemployment benefits must inform the Unemployment Insurance Scheme immediately that they are unemployed.
Unemployment benefits are 80 per cent of the average wages received during the last 12 months prior to becoming unemployed with a maximum of DKK 18,500 per month.
Unemployment benefits can be obtained for a total of 648 days during a period of 4 years.
A person receiving unemployment benefits must be available for any kind of work. If he or she refuses to accept a job offered by the Unemployment Insurance Scheme, the right to unemployment benefits will be suspended for at least 4 weeks.
The Unemployment Insurance Scheme (in Faroese)