The Employment Fund’s
Half-year Report 2021

1 Jan–30 Jun 2021

Managing Director’s review

The effects of the COVID-19 pandemic were still evident, but we carried out our services in accordance with our objectives

The effects of the COVID-19 pandemic were still reflected in the activities of the Employment Fund in the first half of 2021. Unemployment rates remained high at the beginning of the year, although the number of layoffs started to decrease from the previous year’s highest numbers. We have seen signs of more positive economic and employment developments since late spring. Economic recovery is expected to gain further momentum in the second half of the year.

Despite the challenges posed by the COVID-19 pandemic, we were able to perform our statutory tasks in accordance with our objectives in the early part of the year. This is all thanks to our personnel. We were able to collect a good proportion of unemployment insurance contributions and secure the financing of unemployment benefits.

After the adult education allowance reform entered into force in August 2020, the number of applications increased as the applications are now submitted retroactively on a monthly basis. We have responded to the increase by, among other things, automating the processing of allowance applications. We have been able to process applications and pay benefits in the target schedule.

A new information system developed to support the revised processing of adult education allowances was completed in March. Further development of the system began in April and will continue into 2022.

A large part of the Employment Fund personnel continued to work remotely, as they did last year. In the autumn, depending on the COVID-19 situation, we will assess how we can begin to return to our normal routine. At the same time, we will be preparing for our move to new premises in Ruoholahti, Helsinki.

Janne Metsämäki, Managing Director

JANNE METSÄMÄKI
Managing Director

Key figures in January–June 2021

This part presents the Employment Fund’s key figures from 1 January 2021 to 30 June 2021. The key figures consist of the major costs of the Fund. In January–June 2021, the Employment Fund collected a total of EUR 1,648 million in unemployment insurance and state contributions (1,454), paid EUR 95 million in adult education allowances (105), paid EUR 120 million to the Social Insurance Institution of Finland (Kela) for persons not covered by unemployment funds (104), provided EUR 1,347 million to unemployment funds (1,247) and paid EUR 505 million in earnings-related pensions (290).

Unemployment insurance contributions collected

million euros
(1,453)

Adult education benefits paid

million euros
(105)

Contributions to Kela for persons not covered by unemployment funds
 

million euros
(104)

Contributions to
unemployment
funds
 

million euros
(1,247)

Contributions from
the pension cover
of persons receiving earnings-related allowances

million euros
(294)

Key figures for January–June 2020 in parentheses. The unemployment insurance contributions collected and the contributions to unemployment funds also include state contributions.

The key figures consist of the major costs of the Fund. During January–June 2020, the Unemployment Fund collected a total of EUR 1,454 million in unemployment insurance contributions, paid EUR 104.6 million in adult education allowances, paid EUR 103.7 million to the Social Insurance Institution of Finland (Kela) for persons not covered by unemployment funds, paid EUR 1,247 million to unemployment funds and paid EUR 289.8 million for the pension cover of persons receiving earnings-related benefits.

Highlights for the first half of 2021

A change in our financing is underway

We have started preparing for the changes that will be brought in by the financing of the security package for over 55-year-olds. A report about the expansion of our tasks concerning adult education benefits was published in June. There will be no proposal for the expansion of tasks, but suggestions concerning our present tasks will probably be discussed further after the summer.

Developments for adult education benefit services

From January, we will report the benefits we have paid to the Incomes Register. In addition, from February onwards, we will use the information reported on benefits and pensions when processing applications for adult education allowance. In our online services, we have introduced an easy to use and secure messaging service that our customers have started to use actively.

The picture shows the building where the Employment Fund’s new office premises are located in Ruoholahti.

We are preparing to move into the new office premises

The move to the new office premises in Ruoholahti, Helsinki is scheduled for the turn of 2021–2022. The main criteria for the new premises are functionality, security, suitability and overall economic efficiency. While preparing for the move, we have had the opportunity to think about working in the future, and the new premises are designed to support a hybrid work model.

Skill development takes centre stage

We support our personnel’s continuous development and learning at work. In the spring, we defined skill requirements for individual tasks to be used with personal development plans. We promoted digital skills through online staff training. To support the development of our supervisors’ management practices, we organised a management academy and training in coaching leadership.