Basic unemployment insurance benefits will be reduced from Aug. 1 in response to a 0.8 percent fall in average pay in fiscal 2002, according to the Health, Labor and Welfare Ministry.

Minimum daily benefits will be cut to 1,696 yen from the current 1,712 yen, the ministry said.

The upper limit on payments will be 6,957 yen for unemployed workers between the ages of 60 and 64, down from 7,011 yen, and 7,980 yen for those aged 45 to 59, down from 8,040 yen.

The reduced benefits will affect workers who have left their jobs since May 1.

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