Business

Finnish Pension Transfers Climb to $1.28 Billion in Q3

The value of Finnish earnings-related pension transfers under the Employees Pensions Act (TyEL) climbed to more than $1.28 billion in the third quarter of 2025, marking a strong rebound from $732.53 million in the previous quarter, the latest transfer statistics from the Finnish Pension Alliance (TELA). showed.

Between July and September, 2,841 TyEL policies were transferred between pension insurance companies, alongside 3,413 transfers under the Self-Employed Persons’ Pensions Act (YEL), TELA said.

The value of these transfers totalled $104.75 million, an increase from $99.15 million in the previous quarter, though still below the $108.48 million recorded in the first quarter of 2025. Combined, more than 6,200 policies changed providers in the period, up slightly from 6,054 in Q2 2025.

The Q3 data also marked a reversal of the decline earlier this year, when TyEL transfer values fell from $1.05 billion in the first quarter. As a share of total payroll, TyEL transfers accounted for 1.5%, up from 0.9% a year earlier, while YEL transfers accounted for 1.6%, up from 1.4% in Q3 2024.

Meanwhile, transfers made up 2% of the TyEL insurance portfolio and 1.6% of the YEL portfolio, indicating steady growth in market mobility. Policyholders can transfer their TyEL or YEL insurance once they have been insured with the same company for at least one year, with transfer dates falling on 1 January, 1 April, 1 July and 1 October.

The latest figures come amid a wider policy debate over the future of YEL reform, as Tela continues to call for changes to strengthen the self-employed pension system.

The organisation has urged the government to lower the earnings threshold for YEL contributions, currently set at $10,731.39 per year, so that hidden income from small-scale or part-time work is also covered.

‘Modernise YEL’

TELA Chief Executive Suvi-Anne Siimes, opposed creating a separate system for the so-called light entrepreneurs, and suggested that YEL should be modernised to base contributions on actual income data drawn from registers and to move towards a partially funded model similar to TyEL.

“Creating a new category would complicate the Finnish labour market and undermine the clarity of the pension system. At worst, it would also stifle the growth ambitions of the smallest entrepreneurs,” she said.

The Ministry of Social Affairs and Health has appointed Jukka Rantala to lead a review of the YEL system, with recommendations expected in November 2025.

Global Business Magazine

Recent Posts

IMF staff reach agreement with The Gambia on sixth review of credit programme

Completion of the reviews would unlock about $28 million in new financing, with growth projected…

3 days ago

FIA President Mohammed Ben Sulayem heralds major investment in race management as important milestone in Formula One evolution

New multi-million-pound FIA Remote Operations Centre underlines FIA commitment to delivering highest standards of safety,…

4 days ago

FIA President Mohammed Ben Sulayem says Middle East Motorsport Volunteers, Officials are among world’s best

They are ‘the lifeblood of our sport, and without their dedication, professionalism and passion, there…

4 days ago

IMF announces departure of deputy managing director Bo Li, proposes China’s Min Liao as successor

Li will leave on November 30 at the end of his term; Liao, currently China’s…

4 days ago

Huawei and HIPA take UAE-wide photography project to Ras Al Khaimah

The “The UAE. A Closer Look” initiative sent photographers to capture an emirate that is…

5 days ago

Dubai South Home Sales in Eight Months Surpass Full-Year 2025 by 27%: Anarock

12,428 homes transacted in January–August 2026 against 9,788 in the whole of 2025; eight-month volume…

6 days ago