Law amendment clarifies the qualifying criteria for rehabilitation allowance
Parliament has approved a legislative amendment allowing clients to receive rehabilitation allowance for the duration of their rehabilitation process and to transition more easily between the rehabilitation allowance and other Kela benefits. Further, the application period for the rehabilitation allowance is lengthened from four to six months.
Parliament has passed an amendment to the act concerning the rehabilitation benefits and allowances provided by Kela. The amendment will allow Kela to pay rehabilitation allowance for the entire course of rehabilitation. It will also make it easier for clients to transition between Kela benefits. The changes will take effect on 1 January 2023.
Clients on basic social assistance can qualify for rehabilitation allowance without a waiting period
Clients who prior to rehabilitation were paid basic social assistance will be able to qualify for rehabilitation allowance without having to complete a waiting period. There is currently no waiting period requirement for clients who prior to their rehabilitation received sickness allowance, partial sickness allowance, parental benefits or unemployment benefits.
More flexibility in the provision of rehabilitation allowance to those who are unemployed or employed irregularly
Unemployed clients accepted to a vocational rehabilitation programme arranged by Kela will have the choice to receive rehabilitation allowance rather than unemployment benefit payments before the rehabilitation starts. Unemployed clients will also be able to get rehabilitation allowance payments during individual rehabilitation periods.
Clients participating in vocational rehabilitation offered by Kela who are not employed when the rehabilitation begins can be paid rehabilitation allowance even if they start part-time or occasional work while in rehabilitation. Previously, even a short period of employment stopped the payment of the rehabilitation allowance.
Rehabilitation allowance also available during rehabilitation off-days
The law will also regulate the payment of the rehabilitation allowance during rehabilitation off-days, which have to do with situations where clients are unable to undergo rehabilitation five days a week because their ability to work, study or function has declined. Clients who spend three to five days a week in vocational rehabilitation offered by Kela will be able to get rehabilitation allowance also for the off-days. This also requires that the clients are prevented from working on the off-days and that the possibility to have off-days is recognised by Kela.
Work trials arranged under the Act on Occupational Health Care
Rehabilitation allowance will be available for up to 45 working days during work trials arranged under the Act on Occupational Health Care.
The work trial must be designed to address work capacity issues identified by the occupational health care provider, and the client employed in the trial must be paid by the participating employer. During the work trial, the client will either be reassigned or continue in their current job with appropriate adjustments. The work trial must take the form of early-invention vocational rehabilitation, and the client may not be entitled to vocational rehabilitation under the legislation on earnings-related pensions.
Application period for the rehabilitation allowance extended
The application period for the rehabilitation allowance, the maintenance allowance payable during rehabilitation and the means-tested rehabilitation assistance will be extended from four to six months starting 1 January 2023.