STT: Thousands of officials could be laid off due to cost savings

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				STT: Thousands of officials could be laid off due to cost savings

Juha Majanen, the permanent secretary at the Ministry of Finance, reacted at a news conference about rail infrastructure projects in Helsinki in January 2023. Majanen on Sunday confirmed to STT that ministries and government agencies may have to make thousands of people redundant to meet the government-imposed savings targets. (Emmi Korhonen – Lehtikuva)

AS MANY AS thousands of officials may be laid off due to the cost savings pursued by the government of Prime Minister Petteri Orpo (NCP), reports STT.

Juha Majanen, the permanent state secretary at the Ministry of Finance, estimated yesterday in an interview with the news agency that ministries and government agencies may have to resort to lay-offs due to the 200-million-euro saving target imposed on public administration for 2025.

“For example, about 13,000 people are working in the administrative sector of the Ministry of Finance. I’m sure about 90 per cent of all costs are staff costs,” he commented.

STT on Friday reported, citing Helsingin Sanomat that the effort to bring down costs could force the institute to save on research.

“It seems like either there’ll be problems because we have to give up on research funding or we have to go through consultative negotiations to save wage money so that we can spend it on research,” he said.

Aleksi Teivainen – HT

Source: www.helsinkitimes.fi

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