Työttömyysvakuutusrahasto - Company Announcement

Unemployment Insurance Fund: Budget and proposal for Unemployment Insurance Contribution rates for 2017

Unemployment Insurance Fund     Stock Exchange Release     30 August 2016 at
13:00 p.m.

TVR budget and proposal for Unemployment Insurance Contribution rates for year
2017

The Supervisory Board of the Unemployment Insurance Fund (TVR) has today
approved the budget for year 2017 and decided to propose to the Ministry of
Social Affairs and Health, that the following changes would be applied to the
Unemployment Insurance Contributions (UIC) for the year 2017. TVR proposes, that
the average UIC for employers will be decreased by 0,46 percentage points and
the UIC for employees to be raised by 0,45 percentage points. The level of UIC
percentages for the next calendar year are set by the Finnish Parliament by
amending the Finnish Act on Financing of Unemployment Benefits.

The unemployment rate in Finland is according to the budget estimated to be 9,2
percent in 2016 and 9,1 percent in 2017. The benefit payments paid by TVR will
decrease by two percent in 2017 from 2016. The change in net position is
estimated to be slightly positive in 2017 and the net debt position to decrease
accordingly.

 TVR budget for year 2017 (source: TVR, Statistics Finland)

 30.8.2016
---------------------------------------------------------------------
 Amounts %                              2 015      2016 e      2017 B
---------------------------------------------------------------------


 Unemployment rate                      9,4       9,2         9,1

 Wage sum growth p.a.                   0,8       1,0         1,1

 UIC, employers (average)               2,34      2,86        2,40

 UIC, employees                         0,65      1,15        1,60


---------------------------------------------------------------------
 Key Figures, EURm                      2 015      2016 e      2017 B
---------------------------------------------------------------------


 Unemployment Insurance Contributions   2 188     2 938       3 006

 Other income *                         1 142     1 125       1 024

 Benefits paid                        -  4 002  -  4 013    -  3 952

 Change in Net position               -  677      46          73

 Net position (Business cycle buffer) -  686    -  640      -  567

 Maximum limit for buffer               1 521     1 569       2 252

 * contributions from MSAH




Additional  information:

Janne Metsämäki, Managing Director. tel. +358 40 522 3614
Tapio Oksanen, Deputy Managing Director, CFO tel. +358 40 539 4651



Helsinki, 30 August 2016

Unemployment Insurance Fund (TVR)

Tapio Oksanen
Deputy Managing Director



Distribution:
NASDAQ OMX Helsinki
Media
www.tvr.fi



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