JHL (12.01.2016 - Heikki Jokinen) Financing for the reform of the social welfare and health care structure shows every sign of resting on unsound foundations, says JHL Chief Executive Officer Päivi Niemi-Laine.

Though the existing multichannel financing model is not good, Niemi-Laine admits, she has serious doubts concerning the model the Government is planning.

From the beginning of 2019 Finland will be divided into 18 self-governing regions that will have responsibility for social welfare and health care in those regions.

The new reform means that more than 200,000 employees will have a new employer. Today social welfare and health care is administered by 190 joint municipal authorities and local authorities.

At the moment services are financed from many sources, such as municipal taxes, state support and the Social Insurance Institution Kela.

Now the plan is to use one channel for funding. Henceforth, the new self-governing regions will receive all financing for health services from one source.

”Financing the service reverts once again to the 'Let's hope it works' way of thinking. It has proven earlier to be a very bad way of decision making.”

The municipal decision makers must be awake and very alert when the new social welfare and health care structure is being built, Niemi-Laine says.

”The tasks and financing as a whole will only be a success if the Government does not neglect its responsibilities and if the municipalities do not make the situation more difficult by committing to long-term outsourcing decisions.”

In order to achieve a successful changeover to the new structure there is a need for a working group which also represents employees, Niemi-Laine says. It should prepare and monitor all the details concerning the transfer of employees to new employers, harmonisation of salaries and information.

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