Basic unemployment allowance

Labour market service model - effect on Kela benefits

Kela will continue to base its decisions on the labour policy statements issued by the TE Services or the municipal authorities. Keep your registration as a jobseeker valid, show sufficient job search activity and follow the employment plan, That way you will not lose your benefits. If you do lose your benefits, the mandatory waiting period you must complete will be shorter.

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Basic unemployment allowance

The basic unemployment allowance is paid to persons who meet the work requirement for employees or self-employed persons when they become unemployed.

Maximum period

  • The basic unemployment allowance is payable for a maximum period of 400 days.
  • If the employment history is shorter than three years, the maximum payment period of the unemployment allowance is 300 days.
  • If you are still unemployed when the allowance runs out, you can apply for labour market subsidy.

The unemployment allowance is payable for a maximum of 500 days for unemployed persons who have met the work requirement after reaching the age of 58 years. Ageing unemployed persons who satisfy the work requirement are eligible for additional days of unemployment allowance and can take advantage of a kind of unemployment path to retirement.

The 5-day waiting period for the basic unemployment allowance is applied at the beginning of each maximum payment period of 400 days. The waiting period is only applied at the most once a year, however.

In Kela's e-service you can check how the maximum payment period of 400 days is completed.

Eligibility for basic unemployment allowance

Basic unemployment allowance can be paid at an increased rate for the time of participation in employment promoting measures.

Benefits that reduce the basic unemployment allowance

Any other social security benefits you may have are normally deducted from your basic unemployment allowance.

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