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Updated 2026-01-18
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Työmarkkinatuki: labor market subsidy

Means-tested unemployment support from Kela for those without employment history or who've exhausted other benefits.

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2026 reform: On 1 May 2026, the labour market subsidy and the basic unemployment allowance were merged into a new benefit, the general social security benefit (yleistuki), paid by Kela. The amount (about 37.21 EUR/day) and the means-testing principle described here carry over, but new applications are now made for yleistuki. Check kela.fi for the current rules.

Detailed explanation

The labor market subsidy fills an important gap in Finland's unemployment protection system. Unlike the basic and earnings-related allowances, it doesn't require you to meet an employment condition (26 weeks of work history). This makes it accessible to people who:

  • Have never worked or haven't worked enough to meet the employment condition
  • Are entering the job market for the first time (such as recent graduates)
  • Have exhausted their 300-500 days of basic or earnings-related allowance
  • Are long-term unemployed returning to the benefit system
The key distinguishing feature is that työmarkkinatuki is means-tested. Your spouse's or partner's income affects the amount you receive, and in some cases may reduce it to zero. This is different from the basic and earnings-related allowances, which are paid regardless of household income.

There is also a waiting period for first-time job seekers. If you've never worked, you may need to wait 21 weeks (about 5 months) before receiving labor market subsidy, during which time you're expected to actively seek work or participate in employment services.

How it affects expats

  • New to Finland: If you haven't worked in Finland yet, this may be your only unemployment benefit option
  • Means-tested: Your partner's income significantly affects your eligibility and amount
  • Waiting period: First-time job seekers face a waiting period before benefits start
  • Same job seeking requirements: You must register with TE Services and actively seek work
  • No maximum duration: Unlike other benefits, you can receive this indefinitely while unemployed
  • Participation requirements: You may be required to participate in employment services or training

Benefit amount

The full labor market subsidy is approximately the same as the basic allowance:

  • Full amount: Approximately 37.21 EUR/day (2026)
  • Monthly maximum: Approximately 800 EUR (paid for 21.5 days per month)
Child increases:

  • First child: approximately 7 EUR/day
  • Second child: approximately 7 EUR/day
  • Each additional child: approximately 9 EUR/day
Means testing reduction: Your spouse's or cohabiting partner's gross income reduces your benefit: — Income under approximately 1,044 EUR/month: no reduction — Income above this threshold reduces your benefit progressively — Very high household income may eliminate the benefit entirely

Waiting periods

For first-time job seekers (never met employment condition):
  • 21 weeks (approximately 5 months) waiting period
  • Reduced to 5 weeks if you complete certain employment measures
  • No waiting period if you've worked at least 6 months previously
After exhausting other benefits:
  • No additional waiting period
  • Transition directly from basic/earnings-related allowance

Participation requirements

Labor market subsidy often comes with requirements to participate in:

  • Job search activities: Applying for jobs, attending interviews
  • Employment services: Meetings with TE Services advisors
  • Training courses: Finnish language, vocational training
  • Rehabilitation: If relevant to your employment prospects
  • Work trials: Unpaid work experience periods
Failing to participate without good reason can result in benefit reductions or suspension.

How to apply

  • Register with TE Services: Required for all unemployment benefits
  • Create an employment plan: Work with your advisor on job search strategy
  • Apply to Kela: Through OmaKela online service or paper form
  • Provide household information: Spouse's income details are required
  • Submit ongoing applications: Typically every 4 weeks
  • Participate actively: Follow your employment plan and attend required services
  • Kela — Finland's Social Insurance Institution