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Home International Customs Finland

Finland’s basic income trial falls flat

byCT Report
24/04/2018
in Finland
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HELSINKI: Finns are receiving a flat monthly payment of €560 (£490; $685) as basic income. The eagerness of the government is evaporating.

Some see basic income as a way to get unemployed people into temporary jobs.

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The argument is that, if paid universally, basic income would provide a guaranteed safety net. That would help to address insecurities associated with the “gig” economy, where workers do not have staff contracts.

Supporters say basic income would boost mobility in the labour market as people would still have an income between jobs.

Finland’s two-year pilot scheme started in January 2017, making it the first European country to test an unconditional basic income. The 2,000 participants – all unemployed – were chosen randomly.

But it will not be extended after this year, as the government is now examining other schemes for reforming the Finnish social security system.

“I’m a little disappointed that the government decided not to expand it,” said Prof Kangas, a researcher at the Social Insurance Institution (Kela), a Finnish government agency.

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