The Finnish Government
has prepared in due course a proposal by the Government to increase Finnvera
Plc's domestic financial authorization from the current EUR 4.2 billion to EUR
Within the current
mandate, Finnvera plc is able to increase corporate financing by EUR 2 billion,
so raising the authorization to EUR 12 billion will enable additional financing
for companies of EUR 10 billion. In addition, the share of the State's
compensation for credit and guarantee losses to Finnvera will be raised from
50% to 80%. With the withdrawal, Finnvera can increase its risk taking in an
The government decided
on measures to make lay-offs as flexible and cost-effective as possible in the
exceptional circumstances caused by the corona virus.
The notice period of
14 days laid down in the Employment Contracts Act is reduced to five days. In
addition, the right to lay-offs is extended to cover fixed-term employment
contracts to the same extent as for contracts of indefinite duration. In the
event of a lay-off, the employee has the right to unemployment benefit and the
right to terminate the employment contract despite the fixed term.
In the case of lay-offs, the minimum consultation periods of the Act on Labor shall be reduced from the current 14 days and the current six weeks to five days each.
These measures are
designed to safeguard the future of businesses and to safeguard jobs in the
At the same time, it was decided that small
entrepreneurs would have access to the same unemployment benefits as wage
have been proposed in the employer's pension contributions. This discount will
be implemented. The reduction shall be 2,6 percentage points and shall take
effect as soon as possible, but no later than 1.6.2020. The discount is valid
until the end of 2020. The effect of the discount will be recouped between 2022
and 2025 by increasing the employer's contribution to the earnings-related
You are able to apply free months for loan
repayments from your bank. Most of the banks grant 6 months for private customers
and 3 months for business customers.
Most companies end
their financial year on December 31st. and the tax return must be filed by
April 30th. In case of illness, it is possible to get an extra time
for the tax return.
In principle, no extra time is granted, but the tax administration has stated that it will not charge late fees or interest.
It is possible to appeal against advance taxes due to the changed economic situation. Applications will be processed on an accelerated schedule.
The terms of the facilitated payment scheme apply to applications filed March 25.3-31.8.2020
Payment arrangements are available only if:
The Finnish state
borders will be closed from commuting on Sunday 22.3.2020. On the basis of a
permanent employment relationship, crossing the internal border is only allowed
in natural working areas on the Swedish and Norwegian borders.
The decisions made
will silence Estonian workers on construction sites in southern Finland, for
example, if the workers have left Estonia for the weekend. Thus, for Estonian
workers, the border is almost completely closed. Only those working on
construction projects critical to security of supply are allowed to cross the
In addition, the necessary traffic is still allowed. According to the Border Guard, an Estonian citizen working as a driver in a haulage company operating in Finland may move across the border to Finland. The movement of transport staff is considered to be a necessary transport authorization. In addition, the movement of health and rescue professionals is also essential.
The government is planning measures to close restaurants to customers (Take away and home delivery would work) and to restrict domestic travel to prevent the virus from spreading.
The above information is based on current knowledge and the content of the changes and restrictions may change.
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