The restructuring protection package for persons aged 55 and over enteed into force on 1 January 2023. The change security includes a change security allowance, which corresponds to one month's salary, and the possibility of receiving change security training.:
The date of termination means the date on which the notice of dismissal was given. Therefore, if the period of notice is long, you must register with the TE Office before the unemployment period has even begun.
You must apply to the unemployment fund for restructuring protection allowance within three months. If you are not a member of an unemployment fund, you can apply to Kela (The Social Insurance Institution of Finland) for restructuring protection allowance.
The amount of the restructuring protection allowance is the same, regardless of whether it is paid by an unemployment fund of Kela. The unemployment fund pays restructuring protection allowance even if your membership in the unemployment fund has started right before the dismissal and you have not been a member long enough to receive earnings-related unemployment allowance.
You can apply for the restructuring protection allowance in eService. The application can be seen in eService on the “Make an application” tab, if the unemployment fund has received a statement from the TE office regarding the restructuring protection allowance. If th application does not appear in eService, please contact the TE office to get a statement.
You can also apply for the restructuring protection allowance with the form found here on our website.
The amount of the restructuring protection allowance corresponds to approximately one month’s salary.
The restructuring protection allowance is taxable income. We recommend delivering the revised tax card meant for the benefit to A-kassa. Withholding tax is deducted from the restructuring protection allowance according to the additional percentage of the tax card intended for salary.
Restructuring protection training lasts no more than 6 months and is equivalent to no more than 2 months’ pay. Restructuring protection training is provided by the TE Office or the Centre for Economic Development, Transport and the Environment (“ELY-keskus”). Participation in restructuring protection training is voluntary, and refusal to participate will not result in the loss of unemployment benefits.
In addition, the age limit to qualify for the extension will rise for those born in 1963 and 1964. Those born in 1965 or later will not be eligible for extended benefits at all.
Earnings-related unemployment allowance is usually paid for a maximum of 300–500 days. Additional days (i.e. extended benefit) refer to the right to earnings-related unemployment allowance after this cut-off period.
In order to be eligible for additional days, a certain age must be reached before the end of the cut-off period, and one must have a five-year work history during the 20 years preceding unemployment. The age limit is currently 61 or 62 years, depending on the year of birth.
The age limit for additional days will increase by one year per age group, starting from those born in 1963. Those born in 1965 or later will not be eligible for additional days at all. This means that the reform will affect the right to earnings-related unemployment allowance from 2025 onwards, when those born in 1963 reach the current extension age limit of 62 years. The extended unemployment benefits will be completely discontinued in 2030.
|Year of birth||Extension age limit after amendment||Government proposal|
|1957–1960||61 years||no change|
|1961–1962||62 years||no change|
|1963||63 years||age limit will rise|
|1964||64 years||age limit will rise|
|1965||not eligible for extension||eligibility for extension will be removed|
Withholding tax is deducted from the restructuring protection allowance according to the additional percentage of the tax card intended for salary or according to the percentage of the tax card meant for benefit.
If you don't want the withholding tax to go according to the additional percentage of the salary tax card, send us the revised tax card meant for the benefit.