Entrepreneurs can be granted temporary entitlement to a labour market subsidy paid by Kela, based on sudden and unexpected decline in market demand caused by the corona virus epidemic. This solution is applicable to all entrepreneurs, regardless of company form. The act on temporary arrangement of self-employed persons’ entitlement to unemployment security takes force today, April 8, 2020. The act will remain in force until June 30, 2020.
You must apply for temporary labour market subsidy from Kela, not from your unemployment fund. As before, earnings-related allowance paid by SYT is available to fund members who have terminated their business operations.
In order to qualify for labour market subsidy, your full-time work as an entrepreneur in the company must have ended, or the income from the business operations is below Euro 1089,67 per month per entrepreneur working for the company. Full-time work or reduced income must be a result of the corona virus epidemic.
To be paid labour market subsidy, you must register with the TE Office, and the TE Office must issue its labour policy statement with regard to your entitlement to labour market subsidy to Kela.
As provided for by law, entrepreneurs must register as unemployed jobseekers with the TE Office no later than April 15, 2020, in order to qualify for a benefit retroactively starting April 16, 2020, provided that the prerequisites for receiving a subsidy are met. In other cases, a benefit would be paid starting from date of registration as a jobseeker, at the earliest. It is possible to register as a jobseeker right away: www.te-palvelut.fi
How do entrepreneurs apply for temporary labour market subsidy?
- Kela will pay labour market subsidy to entrepreneurs during the time period March 16 thru June 30, 2020. Entrepreneurs are not required to terminate their business operations.
- Register as an unemployed jobseeker with the TE Office and hand in your report to show that your full-time work has ended or that your income has been reduced as a result of the corona virus epidemic. If you register no later than April 15, you can be granted labour market subsidy retroactively starting from March 16, 2020. If you register after April 15, you can be granted a benefit starting from your date of registration.
- The TE Office will issue its labour policy statement regarding your entitlement to labour market subsidy to Kela.
- Apply for labour market subsidy from Kela. Kela will pay labour market subsidy until June 30, 2020.