Kela chief surprised by €170m cuts to social and health services

Kela chief surprised by €170m cuts to social and health services

Kela's Director General, Outi Antila, says the cut represents around 10 percent of the agency's annual 650 million euro operating budget.

Government announces €170m in new cuts to social and healthcare services

The Finnish government has unveiled a package of new spending cuts totalling €170 million, targeting a range of social and healthcare services. The announcement follows Prime Minister Petteri Orpo’s pledge to present additional savings ahead of the April local elections. The savings package includes a €50 million reduction in funding for the Social Insurance Institution Kela, drawn from previously unused funds.

The Council of Ministers confirmed on Friday the agreement reached on 17 March in the Group of Ten, announces the cabinet of the Minister of Economy David Clarinval in a communiqué. The agreement reached by the social partners concerned four points. First, employers and trade unions called for the continuation of the unemployment scheme with additional business (RCC, ex-prepensions) until 30 June. According to the validated agreement, therefore,…

The government is counting on the reform of the Social Welfare Act for its savings. However, the reform work is only just beginning.

The government has agreed on a savings package of 166 million euros in social and health care. The list includes home care, child welfare and disability services.

The government has reached an agreement on a package of new social and health care savings.