The 2009 legal reform
Background on the legal reform concerning grant and scholarship recipients
The objective of the 2009 legal reform was to improve and clarify social security for those working on grant or scholarship funding; many who are engaged in artistic and scientific activities rely on grant or scholarship funds at some point in their lives. Work that is supported by such funding is usually viewed as being different from work in an employment relationship or work carried out as an entrepreneurial activity. For many, a significant portion of their working career and subsistence involves working on grant or scholarship funds.
Finnish social security legislation is divided into an earnings-based social security, which ensures a consumption level comparable to that during employment, and a supplementary social security that guarantees the minimal subsistence. Prior to the reform in 2009, those who were working supported by grant/scholarship funds generally fell outside of the sphere of the earnings-based social security.
MYEL insurance enables such persons not only to be included in the employment pension security system, but on the basis of their confirmed income in accordance with the Farmers’ Pensions Act (MYEL), they are also entitled to receive earnings-based daily allowance benefits and rehabilitation funds from the Social Insurance Institution of Finland (Kela).