Li Andersson, the chairperson of the Left Alliance, underscores that the social security system advocated by the opposition party would only have a negative impact on the disposable income of individuals earning more than 3,500 euros a month.
“Net income, or the amount of disposable income, would increase up until monthly earnings of roughly 3,500 euros,” she stated in a press conference in Helsinki on Tuesday.
The Left Alliance on Tuesday presented its proposal for overhauling the social security system in Finland. The system, it stated, should ultimately be based on a universal basic income of 800 euros a month as it would remove the need for people to resort to the social allowance to supplement their low earnings.
The proposal would also introduce a progressive tax on earnings exceeding 800 euros.
“One tax table would be such that the lowest tax rate would be approximately 30 per cent and the highest approximately 60 per cent on the part exceeding the amount of basic income,” explained Andersson.
The Left Alliance admitted that the social security reform could not be carried out in full until the electoral term starting in 2023. Finland, however, should take the first step towards the system as early as during the next electoral term by consolidating a number of social security benefits into a basic benefit tied to the cost-of-living index.
Aleksi Teivainen – HT
Source: Uusi Suomi