Eloranta: Provision of services by municipalities themselves is the bedrock
of the welfare state
JHL (21.06.2012 - Juhani Artto) Provision of services by the municipalities is decisive for the
the welfare state, says Jarkko Eloranta, President of the JHL. He
characterizes the municipalities' own service provision as "sustainable,
and flexible". It is also good for employment and the entire economy,
"With the service provision of municipalities intact, private capital
investors cannot create service monopolies who seek to make profits from
A recent study, made by Keva (former Local Government Pensions Institution),
revealed that about half of the municipalities and joint municipal
authorities have either already replaced some of their outsourced services
with their own provision of services or are considering doing so. The most
common reasons for this have been the costs and quality of services.
Eloranta is keen to remind everyone that a survey, made last autumn among
JHL's shop stewards, offered similar results.
According to Keva's study, large municipalities and joint municipal
authorities - more so than smaller authorities - have replaced outsourced
services in favour of services they themselves can provide.
And this finding supports JHL's determination to strive for the formation of
large and strong municipalities in the wake of radical municipal reform
measures proposed by the coalition government led by Prime Minister Jyrki