The financial advantages of accepting low paid work can sometimes be cancelled out by the consequent loss in benefits.

Opting to work may not pay off as the Social Insurance Institution (Kela) may demand repayment of unemployment benefits, the daily newspaper Aamulehti reports.

“Taina Tast, a mother of two from Rovaniemi with a master’s degree in economics, had sought work in her own field for several months without success. So she opted to work as a personal assistant on a temporary basis.

During the months of May, June and July she has had two clients and has accumulated 157 work hours. The unit of the city’s social services centre that provides services to handicapped people pays 9.23 euros per hour for the work.

“I always thought that there would be a few euros left over from the work even though the welfare agency subtracts the unemployment benefits from it.”

Last Friday, Tast received a notice from the Social Insurance Institution (Kela) telling her to repay 480 euros in rent support because she had been earning a wage.She calculated that, after deducting her reduced unemployment benefit and rent support repayment, she was left with an untaxed income of 78 cents per hour for the work she did over the summer.

“This can’t be right. I feel I’ve worked for three months for free!”

Tast emphasises that she is ready to do any kind of work.

She has, however, been forced into a situation where she must think carefully before taking on employment.”

AAMULEHTI 14 AUGUST. JUKKA-PEKKA RÄSÄNEN
Lehtikuva - Jussi Nukari