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Home BUSINESSFamily package likely to be scrapped
Sun, 01 Feb, 2015 01:48:36 AM
FTimes-STT Report, Feb 1
File picture of a protest procession against the austerity measures undertaken by the government in Helsinki in may 2014. Photo Lehtikuva.
The controversial family package of the government faces imminent collapse as the Suomen Sosialidemokraattinen Puolue (Social Democratic Party of Finland), the second largest component of the four-party ruling alliance, opposes it.
According to news agency STT, the SDP parliamentary group has informed the party’s ministerial group that the matter should not be moved forward.
The opposition comes as calculations by the Ministry of Finance have revealed that capping of subjective day-care rights and split of homecare allowance will not result in savings, but, instead, it will bring about additional costs of approximately 60 million euros.
The quartet of party leaders will be meeting on Sunday to iron out the issue. It seems the reform will be buried, because another component of the government, the Suomen Kristillisdemokraatit (Christian Democrats of Finland), has also expressed firm opposition to the split of homecare allowance between parents.
The reforms are linked together. The reform is part of the reform package adopted by the Katainen-led government. Its progress, however, has been lacklustre.
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