Finland's social benefits agency Kela is facing the biggest cut to its operating budget for decades.
In a press release published on Wednesday, the agency said the government's cuts to public spending mean that the agency will need to find ways to save 45 million euros between 2025 and 2027.
Kela's operating costs totalled 644 million euros in 2023.
A cost-savings plan was agreed at a board meeting on Tuesday, according to board chair Vertti Kiukas, which will see a reduction in staff numbers as well as other cutbacks.
"We are talking about the biggest cuts to Kela's operating costs in decades," Kiukas said.
Yle understands the staff cuts are likely to affect employees on fixed-term contracts and will also see the agency merging or scrapping certain roles if a permanent member of staff leaves.
The changes will have a knock-on effect on the services provided to customers, as Kela will also seek to reduce the number of premises it operates as well as cutting back on the provision of customer service points.
"The savings will gradually become visible to customers, for example in the speed and availability of our services," Kela CEO Outi Antila said in the release.
The All Points North podcast looked at how the government's budget cuts will affect people's personal finances. Listen to the episode via this embedded player, on Yle Areena, via Apple, Spotify or wherever you get your podcasts.
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