Finland is afflicted by structural unemployment, meaning there is a mismatch between workers’ skills and those employers want.
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At the end of June, 57 percent of all unemployed were classified as structurally unemployed, according to Statistics Finland. Image: Henrietta Hassinen / Yle
Over half of Finland’s unemployed are structurally unemployed, meaning they are unlikely to find work even if the economy grows and new jobs appear, according to a new report by the Finnish Business and Policy Forum (Eva).
The organisation warns in its statement that structural unemployment is worsening in Finland.
At the end of June, 57 percent of all unemployed were classified as structurally unemployed, according to Statistics Finland.
The group draws attention to the situation of young people, as reported by the national number cruncher.
In June, more than a fifth — 22 percent — of 15–24-year-olds in the labour force were unemployed, a seven-percentage point increase from a year earlier.
The situation is especially dire for young people lacking both work experience and formal qualifications. In this case, the likelihood of finding work within a year falls to just seven percent.
Figures from 2022 further underline the challenge: around 27,000 unemployed people under the age of 30 had no work history at all, according to Statistics Finland’s employment data.
Eva suggested boosting youth employment to address structural unemployment, such as intensive three-month training programmes for young people lacking qualifications.
Young people with foreign backgrounds born in Finland are meanwhile less likely to be employed compared to their peers with Finnish backgrounds, according to a government report.
Yle News’ All Points North podcast explored how Finland’s jobseekers, particularly those with foreign backgrounds, face an uphill battle to find gainful employment.
Is it getting more difficult to find a job in Finland?
