The number of long-term unemployed people threatens to rise to a very high level, according to the labour market forecast for spring 2025 published by the Ministry of Economic Affairs and Employment on Tuesday.
The ministry, however, predicted that employment will grow next year.
According to the forecast, the number of long-term unemployed people is growing rapidly at the moment, and the outlook shows no immediate turn for the better.
As per the forecast, the number of long-term unemployed persons will total 136,000 at the end of this year and grow to an average of 140,000 persons next year.
The number of unemployed jobseekers aged under 25 is predicted to fall quicker than the number of the unemployed in other age groups. In addition, the number of people temporarily laid-off full-time is expected to decrease in the next few years.
Economic uncertainty has delayed the change for the better in the labour market, which was expected to happen this year, said the ministry´s forecast.
Employment will grow in 2026 and the number of unemployed jobseekers will start to decline, said the ministry, adding that employment will improve further in 2027.
The forecast suggested that the employment rate of the working-age population (15–64-year-olds) will fall by 0.5 percentage points this year and be 71.6 per cent on average.
However, it is expected to rise to 72 per cent next year and further to 72.2 per cent in 2027.
The amount of workforce will grow as immigration increases and more and more older people participate in the labour market.
As a result of the growing labour force, the number of unemployed people is expected to decrease only slowly in the next few years.
According to the forecast, the average number of unemployed jobseekers in employment services will be 323,000 this year, and 319,000 and 305,000 in 2026 and 2027, respectively.
- Long-term
- Unemployed people
- Rise
- Finland
Source: www.dailyfinland.fi
