Unemployment turned downward from last month – still increasing on an annual basis

At the end of January, there were 346,400 unemployed jobseekers in total, which is 20,600 more than a year earlier. However, the number of new unemployment spells started was 1,000 more than a year ago. These figures are from the Employment Bulletin of the Employment, Development and Administrative Centre (KEHA Centre).

The number of unemployed jobseekers includes clients of municipal employment services as well as those who are fully laid off. In January, there were 27,300 fully laid-off individuals, which is 3,300 fewer than a year ago and 4,600 fewer than in December, states Miika Hakala, researcher at the KEHA Centre. In total, there were 38,500 laid-off individuals (including those working reduced working week) across the country at the end of January, which is 5,800 fewer than a year earlier.

Long-term unemployment continued to rise – Unemployment increased across all age groups

There were 139,600 long-term unemployed in January, meaning individuals who have been unemployed jobseekers continuously for at least one year. This is 27,300 more than a year ago. Of these, 70,100 had been unemployed for over two years, which is 14,400 more than in January last year.

Unemployment increased across all age groups compared to the previous year. There were 42,300 unemployed jobseekers under the age of 25, which is 4,100 more than in January last year. Of the youth unemployment spells, 43.7 percent ended before reaching three months in January. This share decreased by 2.5 percentage points from the previous year. Among unemployed jobseekers, 87,500 were over 55 years old, which is 4,900 more than a year ago. Of the unemployment spells for those over 55, 40.5 percent ended before three months in January. The change from the previous year is -4,3 percentage points.

Number of new job vacancies decreased

During December, 57,000 new job vacancies were reported, which is 9,300 less than at the same time last year. Only the occupational group of specialist professionals grew compared to a year earlier, with 9,600 new job openings reported — that is, 2,200 more than in January last year. The largest decrease, in turn, was in the occupational group of service and sales workers, where 19,700 new job openings were reported in January, which is 4,100 fewer than a year earlier. In total, there were 82,800 open jobs in January, which is 13,400 less than a year ago.

At the end of January, 88,400 people were participating in services counted towards the activation rate, which is 11,500 fewer than a year earlier. Services included in the activation rate are, among others, wage subsidies, labour market training, rehabilitative work activities, and self-motivated studies with unemployment benefits.

Key differences between the Employment Service Statistics and the Labour Force Survey

The source of the Employment Service Statistics of the KEHA Centre is the customer register of municipal employment services, while the Labour Force Survey of Statistics Finland is a sample survey.

In the Employment Service Statistics of the Ministry of Economic Affairs and Employment, anyone who is not employed or acting as an entrepreneur is classified as unemployed. Persons fully laid off but not full-time students are also categorised as unemployed in the Employment Service Statistics. The Labour Force Survey of Statistics Finland has a stricter definition of unemployed: a person is unemployed if they have actively sought employment during the preceding four weeks and are available for work within two weeks. The Labour Force Survey of Statistics Finland produces official unemployment figures that are internationally comparable.

Further information:

Evaluation and Knowledge Management, KEHA Centre, e-mail: tyonvalitystilasto@keha-keskus.fi