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Home BUSINESSEmployers warned of contribution return to balance fiscal deficit
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Mon, 01 Jun, 2015 12:06:31 AM
FTimes – STT Report, Jun 1
 
The new Employment and Justice minister, Jari Lindström.File Photo – Lehtikuva.
The new minister for employment and justice, Jari Lindström on Sunday called for possible return of contribution paid to the social security institution by employers in case their passive attitude results in a collapse of the envisaged social contract.
 
The Perussuomalaiset (Finns Party) leader said the return of the contribution payment should be put into consideration in order to stabilise the public finances.
 
Lindström, however, told news agency STT that the idea is his own and has not been discussed within the government.
 
The contribution by employers to Kela was scrapped off in the beginning of 2010 at a time when the Suomen Keskusta (Centre Party) was at the helm.
 
The Perussuomalaiset (Finns Party) are known to have opposed the move to abolish the contribution. The scrapped contribution added about 800 million euros to the public coffers
The government is hoping to strike a consensus with the labour market organisations on the social contract.
 
Lindström pointed out that employers have been quiet despite the fact that the responsibility of the contract belongs to all.
 
“I fully understand that the outputs have become part of the workers such as from AKT,” he said.
 
The government’s objective is to ensure that the social contract facilitates a five per cent productivity leap. According to Lindström, other means can also be sought, such as extension of working time.
 
However, Lindström’s remarks seemed to have taken Jyri Häkämies, the chair of the Confederation of Finnish Industries-EK by surprise.
 
“The return of Kela contribution is not part of the government programme, and normally ministers have to adhere by the government programme. In other words, in this respect, this is some kind of soloism,” Häkämies told news agency STT.
 
The return of Kela contribution from the perspective of employment would move issues in the wrong direction, Häkämies said.
 
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