Facts

A. worked as a janitor for the municipality of U., which merged with other municipalities in 2011 to form the municipality of V. Following this restructuring, A.'s position was eliminated, and the parties agreed to terminate the employment relationship by mutual consent as of June 30, 2014. The municipality paid A. a severance payment equivalent to four months' salary, in accordance with the Neuchâtel cantonal law on the status of public servants (LSt). A. registered with the unemployment insurance and applied for unemployment benefits starting July 1, 2014. The Neuchâtel cantonal unemployment insurance fund (CCNAC) refused to pay the benefits for the period from July 1 to October 31, 2014, considering that A. did not suffer a loss of employment during this period, as he had received the severance payment from his employer.

Considerations

The Public Law Court of the Neuchâtel Cantonal Tribunal upheld A.'s appeal and ruled that the entitlement to unemployment benefits began on August 1, 2014. The CCNAC then filed a public law appeal with the Federal Tribunal.

The Federal Tribunal dismissed the CCNAC's appeal. It considered that the severance payment made by…