On September 2, 2026, the Employment Division of the City of Tampere Committee for Competence and Economic Development reviewed the 2027 budget proposal for the employment area. The budget proposal is based on the City of Tampere’s budget framework for the coming year, which was approved by the City Board in June. The starting points for the employment area’s budget preparation have been national objectives and legislation, the priorities of the city and employment strategies, and the economic stabilization program. The statements from the municipalities in the employment area have helped guide the preparation of the 2027 budget.
– Despite the challenging employment situation, the uptick in labor demand and positive economic signals are instilling confidence in the future, says Jaakko Mustakallio, chair of the Employment Division.
Several legislative changes are affecting the need for services and resources in the employment area. Among other things, an amendment that came into effect in July simplified and expanded the use of the youth recruitment subsidy. With this regulation, the requirement related to the duration of unemployment was removed, the minimum duration of employment was shortened, and the pool of eligible employers was expanded. A legislative amendment to come into effect in early September will require job-seeking clients to publish a job application profile on the Job Market Finland service platform. The employment authority, in collaboration with the KEHA Center, will be required to monitor the use of the platform and ensure that the content published on it complies with the law and the terms of use.
A key objective for the employment area in 2027 is to respond to the growing demand for job placement services while also improving job seekers’ labour market readiness and skills. Another goal is to continue establishing the joint partnership model among regional stakeholders to promote employment.
– In 2027, the key task in the employment area will be to strengthen job placement and ensure that job seekers and employers are better matched than they are today. Through timely services, we support job seekers’ progress toward employment while also meeting employers’ growing labour needs, says Regina Saari, Director of Employment and Growth.
In the budget proposal, the total operating expenses for the employment area amount to €73.4 million, of which €70.9 million are to be covered by contributions from the municipalities in the cooperation area. The municipalities’ contributions are determined in accordance with the cost-sharing principles agreed upon in the cooperation agreement between the municipalities in the employment area. In 2027, the estimated contributions will be divided between Tampere and the other municipalities so that the City of Tampere’s contribution will be 62 percent and that of the other municipalities 38 percent.
In 2027, the cost-sharing arrangement will be further defined in accordance with the cost-causation principle so that the costs of wage subsidies, employment support for those over 55, start-up grants, discretionary expense allowances, support for adapting working conditions, and allowances for travel and lodging expenses are allocated based on actual municipal expenditures. The cooperation agreement stipulates that exceptions may be made to the allocation basis for costs that can be billed based on actual municipal expenditures. The development of cost-based billing will continue in the coming years, taking into account the criteria of the cooperation agreement.
The Competence and Economic Development Committee will review the Employment Division’s budget proposal in September.
