The situation of many Finnish companies is still difficult

The situation of many companies is still difficult, but the general situation slightly improved from the autumn 2020. According to Survey of The Federation of Finnish Entrepreneurs (Suomen Yrittäjät):

• 63% of entrepreneurs say that their companies are suffering from the coronavirus crisis, in the autumn 2020 this figure was 65%.
• 13 % of companies encounter payment difficulties.
• 10% of companies are considering shutting down the business.
• 5% are facing the threat of bankruptcy.
• 53% of companies have reduced sales. 22% of companies have lost more than 30% of their sales.
• Compulsory leaves without pay have been implemented by 18 % of companies. However, only 6 % of entrepreneurs say they have started terminations of the employment contracts, i.e., layoffs.
• Temporary wage cuts have been made in 18 % of companies.
• 32% of respondents say that they need direct state support. Some entrepreneurs report that when they apply for promised support, they either do not receive it or receive little. That is understandably annoying.
• 15 % of respondents have applied for entrepreneur's unemployment benefit. Their share has fluctuated between 15% and 22% during the crisis. The extension of unemployment security is currently being considered by Parliament.

According to Mikael Pentikäinen, Chief Executive Officer of The Federation of Finnish Entrepreneurs (Suomen Yrittäjät), the tightened restrictions will exacerbate the situation, so business support and changes in the law are now urgently needed.

Coronavirus crisis affecting companies very differently: some businesses have suffered a little, others have borne the brunt of the downturn a lot. Current situation with coronavirus crisis often hits the same industries: restaurant industry, accommodation, arts, entertainment, recreation, passenger transport, education and part of the trade industry. Due to restrictive measures, the mood of entrepreneurs has darkened. Restrictions related to business closures and unclear instructions cause anger. Confidence in decision-makers and government parties has diminished, Mikael Pentikäinen says.

The full information and the source text can be found at website yrittajat.fi