Päijät-Häme welfare region to cut hundreds of jobs in coming years

The Päijät-Häme welfare region in Finland plans to reduce its workforce by hundreds of employees over the next several years, according to a report by national broadcaster Yle. Welfare region director Petri Virolainen cited cost-saving measures and increased use of technology as the primary reasons for the staff reductions.

The region, which currently employs around 8,000 people, aims to cut approximately 100 jobs annually through attrition, reduced outsourcing, and voluntary departures rather than layoffs. Virolainen noted that recruitment will continue but not at a one-to-one replacement rate, as fewer young professionals are entering the field.

Growing service demands and budget constraints are forcing the region to adapt, Virolainen said. “We must learn to operate in a way that allows us to produce and provide services with fewer staff.” A parliamentary working group has proposed up to €11 billion in public sector savings by 2031, which Virolainen acknowledged will impact welfare regions.

To maintain essential services, the region plans to expand the use of technology, AI, and digital services to replace certain tasks currently performed by humans. Remote services will also become more common. “If we don’t make these changes, the volume of available services will decrease significantly,” Virolainen explained.

The region will also reassess the effectiveness of treatments and services, phasing out low-benefit procedures such as unnecessary medications or surgeries. For example, knee arthroscopies—once performed tens of thousands of times annually in Finland—have already been drastically reduced due to limited proven benefits.

Sara Launio, chief physician at the Finnish Institute for Health and Welfare, cautioned that while technology may transform healthcare, the actual savings remain difficult to quantify. Factors such as software and equipment pricing will ultimately determine cost efficiency. She also stressed the importance of preserving human interaction in care, as patient-staff engagement often influences treatment outcomes.

Virolainen confirmed that local services and emergency points will remain operational, though their offerings may vary. He described the workforce reduction as part of a “national trend” affecting welfare regions across Finland.