Young people in particular awakened to the need for unemployment security during the coronavirus epidemic

The coronavirus spring caused a spike in the applications for earnings-related daily allowance as well as the number of members of YTK. Some 50,000 members joined YTK in January–May 2020, while new members during the same period last year numbered around 25,000.

Young people in particular awakened to secure their future with earnings-related security. Of those who joined YTK during the first months of the year, nearly 27,000 were under 35-year-olds which is more than double compared to last year. The share of women and 25–34-year-olds among the new members increased most in proportion compared to 2019.

Change in working life and uncertainty are the key reasons for joining or switching to YTK

A total of 2,230 people responded to the inquiry for those who joined YTK in January–April. One of the most important reasons for joining was the uncertainty on the labour market due to the coronavirus.

”The world and the labour market are in turbulence, which expectedly also shows directly in the uncertainty experienced by our members and the fact that so many people only awakened to insure their livelihood due to a crisis in society”, says Ilona Kangas, Director of Marketing and Communications at YTK.

The most common feelings and reasons of those who have joined YTK are reflected in the answers such as these:

  • The general conditions in the world. Insecurity and uncertainty. The general uncertainty on the labour market caused by the coronavirus situation shook me awake.
  • Lay-off. Although I knew that I won’t get any allowance during this lay-off, membership in the fund may be useful in the future.
  • Coronavirus opened my eyes to see that even a solvent company may have to lay off its employees.

According to the inquiry, other key reasons for joining YTK included good price-quality ratio, fluent and knowledgeable service, easy use of services, YTK’s independence, recommendations from friends, YTK’s good reputation, and also dissatisfaction with own labour union.

It is worthwhile for everyone to insure their earnings security

According to the YTK’s inquiry to its members, there are more and more those who have not previously been members of any unemployment fund. During the first months of 2020, as much as 85 per cent of all those who joined YTK came from outside the unemployment funds, while in 2019 their share was around 70 per cent.

The coronavirus showed in a grave way that many things can happen in the working life that you can’t affect yourself. Then the security for livelihood is emphasised – it’s worthwhile for everyone to insure their earnings security.

The effects of the coronavirus were also visible in YTK’s member survey in such a way that in addition to young people, more women and those with a lower university degree joined YTK. The accommodation and restaurant industry, the services branch and industrial branches are emphasised among new members. According to the member inquiry, the members think that YTK provides suitable unemployment security for them and the fund is easy to join regardless of occupation.