Home VIRAL NEWS Kela Retirement Expenses Raise Eyebrows Amid Cost-Cutting Measures

Kela Retirement Expenses Raise Eyebrows Amid Cost-Cutting Measures

Kela retirement expenses scandal is drawing attention across Finland as new details reveal over €11,000 was spent on farewell events and luxury gifts for the outgoing Director General, Outi Antila. The spending has come under fire, especially as the social insurance agency is implementing serious cost-saving plans that include staff reductions.

Kela Retirement Expenses

The expenses tied to Antila’s retirement cover a wide range of activities and items. Among them was a €500 ride in a vintage car and a €455 designer lamp from Artek. Other gifts included a Pentik-brand blanket, a decorative table runner, fresh flower bouquets, and bottles of sparkling wine.

The most expensive farewell event cost over €7,900. It was organized for about 90 invited guests, including representatives from government ministries, parliament, and key interest groups. This formal gathering featured full catering services, professional photography, drinks, and live music. According to internal documents, 27 bottles of sparkling wine were consumed during the event.

In addition to the official gathering, smaller coffee-and-cake receptions were held across several Kela offices. Locations included Helsinki, Jyväskylä, Kuopio, and Oulu. These events were aimed at allowing employees to bid farewell to Antila. The headquarters alone accounted for €1,998 of the total cost, with over 1,000 staff members attending across the locations.

The total value of gifts given reached €1,381. These included the high-end lamp, a ceremonial ride in a vintage car, and personal thank-you presents from upper management. According to Kela, the car ride is a long-standing tradition reserved for directors upon retirement. Employees are allowed to choose their own gift from a predefined list.

Vertti Kiukas, Chair of Kela’s Board, defended the expenditures and said they were within reason. “It is customary to hold a farewell when a long-time leader retires,” he stated. “These costs would only be questionable if an extra zero had been added.”

However, public reaction has been mixed. The fact that such spending occurred while Kela is preparing to cut 150 jobs and reduce expenses by €50 million by the year 2027 has fueled debate.

Kela currently employs about 8,500 people, and the board maintains that the farewell costs represent a negligible portion of its total operating budget.

Outi Antila did not wish to speak directly about the farewell budget. She stated that she was not involved in organizing any of the events and was unaware of the financial details. However, she emphasized the importance of shared social moments in the workplace, particularly during transitions.

Antila officially stepped down at the end of May. Lasse Lehtonen has now taken over as the new Director General of Kela.

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