22.11.2023
The formation of employment areas is progressing - in Northern Ostrobothnia, two areas can continue preparations, one is decided by the Government
The responsibility for organising the public employment services will be transferred from the TE Office to the employment areas formed by the municipalities on 1 January 2025. Some of the ELY Centre's services will also be transferred to the employment areas. By the end of October, the municipalities notified the Ministry of Economic Affairs and Employment of their solutions for organising employment services.
Three employment areas were reported to the Ministry of Economic Affairs and Employment from Northern Ostrobothnia. The largest of these is Oulu and the employment area formed by environmental municipalities, where the City of Oulu acts as the organising body. The organizer of the Kainuu-Koillismaa employment area is Kajaani and its affiliates from the North Ostrobothnia region are Kuusamo and Taivalkoski. The third employment area is in the southern part of Oulu, where Raahe is the organizer.
The proposed employment areas meet the requirements of the 20,000 labour force bases and laws for a geographically homogeneous area that works in terms of the labour market and employment.
"Regardless of their geographical scope, the areas formed in Northern Ostrobothnia are compact areas with similar labour market characteristics in their areas," says Jouni Korhonen from the TE2024 project of the Regional Council of Northern Ostrobothnia.
Next, the municipalities of the southern region of Oulu will be heard
The Ministry of Economic Affairs and Employment proposes that the Government approve Oulu and Kainuu-Koillismaa employment areas in Northern Ostrobothnia already at the end of November.
Raahe – Kalajoki – Ylivieska – Nivala employment area is instead proposed to the Government for decision. The City Councils of Haapajärvi, Oulainen and Pyhäjärvi did not approve the draft cooperation agreement and organizing plan presented by the City of Raahe.
The Government's decision, also called the tailboard procedure, means that the Government decides on the formation of an employment area or on the inclusion of a municipality in an employment area if the municipality falls outside the employment area. At the same time, the Government also decides on the allocation of costs, the administrative model, the criteria for organising posts and tasks and other matters necessary for organising cooperation, which the municipalities have not agreed on.
Subsequently, the Ministry of Economic Affairs and Employment will consult municipalities on draft decisions on the formation of employment areas. The consultations will take place already in December and January. The municipalities of the Raahe – Kalajoki – Ylivieska – Nivala employment area are invited to participate. The aim is for the Government to decide on the employment area by February 2024 at the latest.
Although decisions on employment areas do not yet exist, preparatory work is being carried out in municipalities to start employment services at the beginning of 2025.
“The employment service reform is the most significant reform for municipalities since the social and healthcare service reform. The employment areas will be compensated by the state, but the municipalities will pay for the organisation of employment services, personnel transferred from the state and unemployment security expenditure", Korhonen says.
Further information:
Project Manager Jouni Korhonen, Northern Ostrobothnia TE2024 project, +358 40 685 4038
Press release of the Ministry of Economic Affairs and Employment
Northern Ostrobothnia TE2024 project
