Bill to hike income limit for work-based permit submitted to Parliament

The right-wing four-party alliance government on Thursday submitted a proposal to Parliament with the view to hike the income limit requirement from the existing 1331 euros to 1600 euros to get a Finnish residence permit on basis of employment.

In future, the income limit for a residence permit for an employed person could be amended by government decree, said the Ministry of Economic Affairs and Employment in a press release.

The amendments are scheduled to enter into force on November 1 this year.

All employees in sectors or groups of experts for which no separate residence permit exists apply for a residence permit for an employed person.

Typically, these people are skilled workers. In 2023, around 13,000 persons applied for their first residence permit for an employed person and it was granted to about 10,000 people.

The government proposed to set an income limit of EUR 1,600 for the residence permit for an employed person. The income limit refers to the pay that a person must receive for work that they arrive in Finland to do. Other income is not included in the income limit.

“Finland needs work-based immigration to improve the availability of labour. At the same time, we must ensure there is a balance where work-based immigration strengthens the general government finances. This is our goal in setting the income limit for a residence permit for an employed person,” said Minister of Employment Arto Satonen.

The suggested EUR 1,600 would be the minimum below which a residence permit for an employed person could not be granted.

The government proposed that the income limit for a residence permit for an employed person could be amended by government decree if necessary.

The income limit should be set at a level where work-based immigration strengthens the general government finances and does not unnecessarily endanger the availability of labour.

In accordance with the government Programme, the Ministry of Economic Affairs and Employment has assessed the impacts of the income limit on general government finances and the availability of labour.

According to the report, the income limit of EUR 1,600 would primarily affect certain occupations, sectors and regions.

Sector-specific impacts would be greatest in the agriculture, forestry and fishery sector and in administrative and support services.

It is estimated that a few hundred people would remain below the income limit of EUR 1,600 per year, depending on the development of the earnings level in different occupations and the demand for labour.

The government took the moves as a part of its tightening immigration policy amid protests across the country.

On August 25, several hundreds of people went on demonstrations in Helsinki in protest at the move of the four-party alliance right wing government of tightening the immigration policy.

Separate demonstrations were also held in Helsinki on June 27 and June 18 protesting against the immigration policy taken by the government.

Earlier on June 16, leaders of the four parties announced the programme, which included tougher immigration, residence and citizenship laws.