Entrepreneur, read the instructions for applying for labour market subsidy — two eligibility conditions, one of which must be met

Entrepreneurs’ right to receive labour market subsidy due to the COVID-19 pandemic has been extended.

The temporary labour market subsidy has been extended for entrepreneurs until the end of June 2021.

The temporary change in the law due to the COVID-19 pandemic applies to all entrepreneurs, regardless of company size, company form and employment. Under normal circumstances, entrepreneurs can, as a general rule, receive unemployment benefit only if they wind down.

As an entrepreneur, you may receive labour market subsidy due to the pandemic:

1. if your full-time business has ended due to the pandemic, meaning complete shut-down or a change to part-time business,

OR

2. your monthly income from business has fallen below €1,089.67.

Meeting one of these two conditions is enough to receive the subsidy.

Applying for the labour market subsidy

Register with TE Services as a jobseeker and inform them that:

1. your primary business has ended,

OR

2. your business income has decreased due to the pandemic.

TE Services will inform Kela that you have the right to labour market subsidy. You then apply for the labour market subsidy from Kela, giving an estimate of your income in addition to the subsidy. Kela will then pay the subsidy.

Instructions and information on the unemployment benefit are on the TE Services website.

How does the unemployment benefit continue?

With the extension of the temporary labour market subsidy, Suomen Yrittäjät has received questions on how to continue receiving it. You can follow your transactions and other information in the My Transactions service. TE Services also contact clients concerning continuation of the support.

Register as a jobseeker here, or go directly to: https://asiointi.mol.fi/omaasiointi (in Finnish). You can apply for labour market subsidy using Kela’s online service.

Under the government’s Bill, an entrepreneur’s own statement on the decrease in income due to the pandemic is enough. A business should report the business income of each business owner, not turnover, in that statement. Entrepreneurs declare their income twice:

1. when registering with TE Services and applying for the subsidy based on decreased income, and

2. when applying for the subsidy and telling Kela their estimated income in addition to the support. In both cases, under the government Bill, an entrepreneur’s own declaration of income is enough. The Bill does not require income to be based on any specific business indicator, so the business owner can freely choose which indicator to base the statement on.

Your spouse’s income does not affect the labour market subsidy you receive. Your spouse’s income affects basic social assistance but not the labour market subsidy — these are two different benefits. Read more about basic social assistance here. Entrepreneurs have been entitled to unemployment benefits in the past, but to receive it they have had to wind down their business. This is no longer required by the amended law. It should be noted that the change is temporary, and the law will be in force until 30 June 2021.

Editorial staff

toimitus (at) yrittajat.fi