One in six SMEs has hired an immigrant

Seventeen per cent of Finnish SMEs have hired an immigrant, according to the Yrittäjägallup survey.

Recruitment of immigrants is clearly concentrated in larger SMEs. Among companies with more than ten employees, as many as 54 per cent have hired immigrants, while the share remains lower among smaller firms.

Industry is the largest employer: 44 per cent of companies in the sector report having hired an immigrant.

Regionally, immigrants have been hired most in Eastern and Northern Finland, where the share has increased by almost ten percentage points on a year earlier. 

“The capital region has dropped from the top position in hiring immigrants, which indicates that recruitment is spreading to other parts of the country, particularly in sectors facing labour shortages,” says Marianne Ruusunhelmi, an expert on immigrant entrepreneurship at Suomen Yrittäjät, the Finnish SME association.

“The role of immigrants in the labour market will become more pronounced in the future. In many smaller localities, immigrants will play a key role in securing the future of business activity, as the working-age population is declining sharply,” says Harri Jaskari, a Vice President at Suomen Yrittäjät.

Companies that have hired immigrants believe that recruitment has led to more tolerant attitudes among staff, an improved workplace atmosphere, and a stronger ability to serve a wide range of customers. 

Problems with language skills and workplace practices

The share of SMEs reporting problems has increased. Forty-nine per cent of companies that have hired immigrants say they have encountered difficulties, compared with 37 per cent last year. The fewest problems are reported in construction, and the most in industry.

The challenges relate in particular to language skills, understanding workplace practices, and commitment to work tasks. At the same time, there has been a clear improvement compared with last year in integration into the work community.

“Recruitment and induction often require a great deal from both the employer and the employee. This is even more so with immigrants if they’re unfamiliar with how Finnish society and workplace practices operate,” Ruusunhelmi says.

“At the same time, it should be noted that the importance of immigrants in the economy has grown, as their share among entrepreneurs is increasing. Suomen Yrittäjät invests in supporting entrepreneurs who have moved to Finland, as this is an important group. At its best, Suomen Yrittäjät can be a genuine meeting place for entrepreneurs from different backgrounds,” Jaskari adds.

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