The Finnish government has proposed reforms to allow disability pension recipients to work flexibly alongside their pension, within their ability, without fear of affecting their pension income.

The ‘flexibility model’ proposed by the government would allow people on disability pensions to occasionally exceed statutory earning limits during a calendar year without impacting the amount of pension they receive.

Under existing regulations, disability pension payments are suspended if a recipient earns more than the income threshold for three consecutive months.

The proposed reforms would replace these rules with a ‘flex amount’ calculated for each person in receipt of a disability pension for the calendar year.

This would be set at twice the applicable ‘monthly protected portion’ (the amount a person can earn per month without it affecting their disability pension).

As well as allowing more time in the workplace, this would mean that a worker on a disability pension would be able to receive extra payments, such as holiday pay, without risking their pension.

The reforms would apply to both full- and partial-disability pensions.

Those on full disability pensions who exceed the protected portion continuously over a prolonged period (more than 12 months) could be moved to a partial disability pension.

Those on partial disability pensions could have their pensions discontinued if they exceed the flexible threshold for more than 24 months.

Commenting on the changes, Finnish minister of social security, Sani Grahn-Laasonen, said: "The flexibility model is a humane reform that makes it easier to work while on disability pension.

"People with partial work capacity must have a genuine opportunity to participate in working life and in broader social activities without fear of a sudden cut to their pension.

"The flexibility model makes it possible to make use of remaining work capacity and to return safely to working life when health permits.”

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