Unemployed foreigners have three months to find a new job

Due to a change in legislation, foreign workers who become unemployed will now have three months to find a new job after becoming unemployed. This rule applies to workers who have resided in Finland with an employment-based residence permit for less than two years, regardless of the reason for their unemployment. If a worker does not find a new job within three months, they must leave Finland. However, if they have another basis for staying in Finland besides employment, they may apply for a residence permit on a different basis.

Employers are required to notify the Finnish Immigration Service (Migri) of the termination of employment so that the worker’s residence permit may be withdrawn. If an employer fails to notify the authorities within 14 days, a sanction will be imposed.

The new rule does not apply to workers who are temporarily laid-off, as their employment relationship remains valid during the lay-off. The rule also does not apply to EU or EEA nationals who are allowed to work in Finland based on free movement rights.

Workers who have held an employment-based residence permit in Finland for more than two years have six months to find a new job. The same six-month period applies to specialists.

In practice, the Finnish Immigration Service will only begin the process of withdrawing the residence permit three months after employment relationship has ended. The duration of the withdrawal process is still unknown. During the process, the Finnish Immigration Service will provide the worker with an opportunity to express their opinion on the withdrawal. At that stage, the worker may still inform the Immigration Service of a new employment relationship.

At the same time, the right to work under an employment-based residence permit has been expanded, allowing workers to also seek employment in sectors identified as experiencing a labor shortage throughout Finland using the same permit. However, workers in industries covered by the Industrial Union’s collective agreements have limited opportunities to transition into these sectors, as labor shortages are most likely to be identified in sectors that require a legally recognized university degree in Finland. A government decree identifying the current labour shortage sectors will be issued at the beginning of June.

The Industrial Union offers job coaching services to its members, providing concrete assistance in job searching. However, job placement is not part of the union’s services. The union’s website features Työtori, a platform listing all open positions in the union’s contract sectors. While job opportunities may also be found through employment agencies, the Industrial Union emphasizes that, under Finnish law, job seekers cannot be charged fees for job placement – whether by an employment agency, employer, or supervisor.

During the legislative process, the Industrial Union issued several statements opposing the reform. Finding a new job within three months is particularly challenging when the jobseeker does not have sufficient language skills, knowledge of job search methods or networks. Discrimination in recruitment may cause additional difficulties. The Industrial Union also questions the division of workers into two different categories with different rules: highly qualified specialists are granted twice as much time to look for a job compared to those performing manual labor. The bill was passed in Parliament despite it being criticized in almost all expert opinions.

The new provisions are laid down in the Aliens Act (Ulkomaalaislaki) and will take effect on June 11, 2025.