Unemployment is a serious problem that the government of every country is doing its best to solve. Unemployment in Finland is special because the majority of skilled workers are employed and unskilled workers receive a special allowance. The system of state subsidies is aimed at providing funds for people who have lost their jobs to meet their needs, and for some this is quite enough.
Unemployment statistics in Finland
There are three measures for determining the level of unemployment in the state. Most often, a unified measure is used, which shows the percentage of employed and unemployed citizens.
The statistics are relentless: since 2007 unemployment in Finland has been gradually increasing. After a critical peak (16.5%) in 1995 and a rapid decline to 6% in 2004, the figure is 8.5% in 2021. At the same time, the bulk of the unemployed are people who are able, but not willing to work - their number is gradually increasing and the unemployment rate is growing.
The main causes of unemployment
The Finns believe that the main reason for the massive unemployment of the working-age population is the recession that is observed in the once flourishing pulp industry. Due to the development of the Internet and the gadget industry, the demand for Finnish paper is declining. The timber industry, which is directly related to the pulp industry, is also suffering. As a result, not only the number of unemployed personnel increases, but also the country's GDP decreases.
Another reason for the problems of the labor market, the Finns call the collapse of Nokia, which was unable to compete with such IT giants as Apple and Samsung.
The downturn in the Finnish dairy industry was significantly influenced by anti-European sanctions from Russia. In particular, this concerns the largest dairy processing company Valio, for which the Russian market was the main sales market.
The worse the state of various sectors of the Finnish economy, including transport, light and food industries, becomes, the more unemployment grows and labor immigration decreases.
Government policies to provide welfare for the unemployed and the poor encourage many of them to rely on easy money. That is, those people who could receive a salary 20-30% more than the amount of unemployment benefits, prefer not to work at all, while remaining well-off.
Another reason for the rise in unemployment, economists call the decline in demand for highly qualified personnel, which is due to a gradual recession in the national economy.
Types of unemployment benefits
There are three types of benefits in total that are paid by the Finnish government. This is a benefit that is related to lost earnings, as well as the base and market subsidies. They all have their own terms of receipt and calculation features. How much unemployed people are paid in Finland depends on their work experience and the benefits they receive.
Earning-related allowance
This type of subsidy can be obtained if you:
- registered with the Bureau of Employment and Economic Development as a person who has lost his job;
- have a membership in a Finnish mutual aid fund;
- worked long enough before becoming unemployed and engaged in skilled work rather than seasonal work;
- at least six months were in the mutual assistance fund.
The allowance will be paid to you by the fund of which you were a member and to which you made membership fees. The allowance is calculated based on the payment you received in your previous job.
Typically, unemployment benefits are paid within four hundred days.
The exceptions are the following cases:
- If you worked for less than three consecutive years before losing your job, you will be paid the benefit for three hundred days.
- If you are 58 years of age or older when you lose your job, you can get benefits for five hundred days.
Basic allowance
Paid to persons who are somehow registered in the social security system and have permanent residence or residence permit in Finland. Those who have been and worked in the country under an employment contract can also apply for the basic subsidy.
The conditions for receiving benefits are the same as in the previous case:
- usually the payment period is 400 days;
- for those who did not work for long - 300 days;
- for people of pre-retirement age - 500 days.
The amount of the subsidy also depends on the availability of additional income: if there is any, the subsidy is reduced.
Market allowance
This subsidy can be received by those who live in Finland on a work visa, are registered with the Employment Office and have already applied for basic or compensation for lost earnings.
The same benefit is available to those who have not worked long enough to be eligible for any other subsidy.
The labor market allowance is paid only when necessary, so the local social security office takes over the payment. At the same time, the presence of social benefits or other bonuses is an indicator for reducing the amount of the benefit.
Those who have not yet reached the age of 25 are subject to a special payment system - its principle must be clarified at the place of residence.
What you need to do to get benefits
First of all, you need to register with the social security authorities. To do this, you should:
- register at the police station at the place of registration, indicating before this the time and date of your visit on the website www.poliisi.fi;
- if you have not yet received the right to permanent residence, you need to contact the migration police. Then fill out the application for an ID card and get it from your local city council.
The next step is to apply for assistance at www.kela.fi. You can submit this application in writing by downloading the required forms online. After your application has been processed, a personalized Kela card will be sent to the address you provided.
This card gives the right to participate in the structure of social insurance, social security and, accordingly, the application for benefits. You can apply for benefits at your local Kela office.
How can you find a job in Finland
Official Internet resources are the best source of proven and well-paid vacancies.
List of sites:
- the website of the Ministry of Employment - offers lists of available vacancies by specialty in the Employment Bureau by city;
- The Occupational Safety and Health Administration provides all the necessary information about the details of employment, employment contracts, the principles of paying salaries;
- www.adecco.fi;
- rekrytointi.com;
- www.uraopas.fi.
For those who do not know English or Finnish or do not dare to contact employers directly, recruitment agencies offer their services. It should be borne in mind that their services are paid - the price of one vacancy often reaches 200-300 euros.
It is easier for students with an agricultural education - they have access to internship programs on flower and livestock farms with subsequent employment.
Finally
The unemployment rate in Finland is relatively high, but this does not prevent foreign workers from traveling to this country and taking both seasonal and permanent jobs. Finland offers significant financial support to those who for some reason have lost their jobs or cannot find one for a long period of time.However, in order to be eligible for social assistance during unemployment, you should carefully study the procedure for obtaining it and adhere to the procedure established by the Finnish state.
