Foreign Citizens in Finland as Recipients of Social Security Benefits

• Main Authors: Helka Hytti, Seppo Paananen
• Format: Article
• Language: English
• Published: Population Research Institute of Väestöliitto 2003-01-01
• Series: Finnish Yearbook of Population Research
• Online Access: https://journal.fi/fypr/article/view/44985

This article looks at recipiency rates for social security benefits and active labor market measuresamong working-ageforeign residentsof Finland, and compares them to the corresponding rates among Finnish citizens. Data for the study was obtained by collating individual-level datafrom the Finnishpopulation register,various social security registers, the studentfinancial aid register and thejobseeker register maintained by the employment authorities. The analysis focuses on unemployment benefits, maternity and parental allowances, child home-care allowances, income support andfinancial aid benefitsfor students. The study rejlects the situation as of November 2000. The results show substantial variation among the ethnic groups in terms of social security recipiency. The highest recipiency rates were seen among refugees,followed by persons having entered Finland on a passport issued in Russia or theformer Soviet Union.As for participation in active labor market measures, Russians and citizens of the former Soviet Union, refugees and Estonians had signifzcantly higher recipiency rates than the general Finnish population. Another finding suggesting a high level of motivation towards labor market participation in the abovementioned groups is that young persons in these groups were nearly as likely as young Finnish citizens to receivefinancial assistancefor studies, either in theform offinancial aid benefits or labor market training.