The FV System

Everyone who qualifies for benefits through the FV system is required to "Confirm Work in Fish Processing". However, you are only required to confirm for the periods in which you qualify for benefits from ALS. The confirmation helps ensure that the correct amount is paid out.

You confirm work on Vangin.

Confirm Work in Fish Processing

When must you confirm work on Vangin?
Everyone who is entitled to benefits through the FV system will receive a notification on Vangin when it is time to confirm. If there is a week in which you are not entitled to benefits from ALS, you will not receive a notification to confirm work.

Confirm on time
It is important that you confirm work as soon as you are given the opportunity. Delays may result in your benefit being postponed until the next payment.

You always have 14 days to confirm work. If your confirmation has not been completed after 14 days, a deduction will be made from your benefit. For example, if work is confirmed one day late, you will lose benefits for one day, which ALS has set at 8 hours.

You confirm information from the fish factory
The fish factory provides ALS with information about your working hours and wages. This is necessary to determine the amount of any benefits. If you are entitled to benefits, you will receive a notification that the information the fish factory has provided to ALS is ready for you to confirm on Vangin. You confirm that the information is correct.

If the information is incorrect, you must contact ALS.

If you have income from another employer, this must be registered before you complete the final confirmation.

The FV system is a type of unemployment benefit covering temporary unemployment for fish factory workers.

The system provides unemployment benefits during periods of inactivity at fish factories due to factors such as a lack of raw materials.

To qualify for FV benefits, your workplace must be approved by the Faroese Unemployment Office (ALS) under the FV system.

To qualify for the FV system, a fish factory must:

• be regularly engaged in the processing of fish or fish produce.
• have estimated regular processing activities of a minimum of six months over the next 12-month period. Each period of activity must be estimated to last at least two months.
• have legal authorisation or equivalent approval from Heilsufrøðiliga Starvsstovan (the Faroese Food and Veterinarian Authority) for fish processing activities.
• notify ALS of the expected number of employees that will be associated with the FV system. The reported number of employees must correspond with the factory’s production capacity during regular production hours.
• Notify ALS of any changes that may affect the possibility of regular processing at the factory.

To be included in the FV system, fish factories must apply in writing to ALS, with the required documentation attached.

To qualify for unemployment benefits through the FV system, you must be released from work due to a temporary halt in production at the factory, and you must fulfil the general ALS conditions for being available for any type of work.

You are not regarded as an unemployed fish factory worker if you:

• are engaged in any form of education during regular work hours
• are an independent businessperson
• have contractual connections with other employers for more than ten hours of work per week
• have worked more than ten hours per week for another employer for eight consecutive weeks
• have not worked at the fish factory for eight consecutive weeks
• Receive regular unemployment benefits.

A temporary halt is when work at the fish factory is suspended due to factors such as a lack of raw materials.

If you are released from work for reasons other than a lack of raw materials or similar reasons for periods of up to two weeks, you are also eligible for benefits through the FV system.

If this period exceeds two weeks, you are no longer entitled to these benefits.

When you apply for benefits through the FV system, you fill in an application form, which you can find on this website or by contacting ALS.

The application includes details such as the start date of your permanent employment at the fish factory, whether your work full-time or part-time, work experience and education. The application must also include documented proof from your employer that you are an employee of the factory.

Benefits are paid from the date ALS receives your application, provided you meet the conditions for receiving benefits through the FV system.

Your unemployment benefits are calculated based on your earnings in your base year, i.e. the full working year required to qualify for unemployment benefits through the FV system.

Your benefit rate is 80% of your total earnings during the base year. This rate is recalculated on 1 January of every year. The new rate cannot be lower than the one determined from your base year.

If you rejoin the FV system after having been unregistered from the system, your benefits may be affected since the benefit rate is always based on your earnings in the 12 months prior to qualifying for unemployment benefits through the FV system.

If less than one year has passed since your last benefits payment from ALS – either through the regular unemployment system or the FV system – your most recent benefit rate is applied, provided it is higher than the new one.

Payment are made weekly. Benefits are calculated starting from the ninth hour of unemployment, and you are entitled to a maximum of 32 hours of benefits – equivalent to four days per week.

If your A-income (income taxed at source) from the fish factory or from another employer is higher than the standard weekly income of an unskilled worker, the income exceeding this amount will be converted into hours which are subtracted from your benefits.

If you work part-time, or if you work full-time at a fish factory which is not covered by the FV system, your benefits will be adjusted accordingly.