“We are boldly setting out to try a new approach to providing employment services. This is not a traditional client–provider model, but rather a genuine partnership in which we operate as a single entity and share both the risks and the benefits,” explains Unit Director Miika Keijonen from Helsinki Employment Services.
The pilot project will be carried out in the areas of Itäkeskus–Vuosaari–Mellunmäki, Kontula–Vesala–Jakomäki and Malminkartano–Kannelmäki–Konala. The partners in the alliance are the City of Helsinki, the Deaconess Foundation, S-Pankki Vaikuttavuussijoitukset Oy, Live Foundation, Startup Refugees (Phoenix ry), Arffman Finland Oy and Kuntoutussäätiö (Rehabilitation Foundation).
The Finnish Government is also an important partner. The Neighbourhood Alliance is part of a national initiative to support large cities in developing new approaches to reducing youth unemployment. The Government has allocated a total of €15 million for this work in 2026–2027.
The aim is to increase effectiveness
Helsinki aims to provide the most effective employment services in Finland. The City is leading the way by incorporating the alliance model into the provision and development of employment services.
In the Neighbourhood Alliance, the remuneration paid to service providers is not based solely on the work carried out, but also on the results achieved. If successful, the benefits of the alliance model will also be reflected in the City’s finances. Decreasing unemployment reduces municipal contributions to unemployment benefits and social assistance expenditure, while increased employment boosts tax revenue.
“The Alliance’s activities are guided by effectiveness and data. We monitor indicators such as employment, the costs of social assistance and unemployment benefits and the development of tax revenue. Our work is based on continuous learning: if something is not working, we will change course quickly,” Keijonen continues.
Pilot project launched in three residential areas
The Neighbourhood Alliance will be launched in autumn 2026 in three areas of East, North-East and West Helsinki.
The selected priorities for the pilot areas are:
• Itäkeskus–Vuosaari–Mellunmäki: boosting employment among foreign-language speakers.
• Kontula–Vesala–Jakomäki: education and competence paths for young adults.
• Malminkartano–Kannelmäki–Konala: preventing long-term unemployment and providing early support.
There are currently 18,900 residents living in the pilot areas who belong to the target groups of the project. The Neighbourhood Alliance will be visible to local residents as more personal and accessible forms of support, as the
Alliance will actively reach out to Helsinki residents looking for work or education in the places where they spend their time and go about their business. The Alliance will provide support tailored to each client’s individual needs and also throughout transitions from one service to another.
Extensive cooperation towards shared goals
The Board of Helsinki Employment Services approved the service providers for the Neighbourhood Alliance in April, and the development phase of the project began in May.
As a coordination partner, the Board selected a group headed by the Deaconess Foundation, which includes S-Pankki Vaikuttavuussijoitukset Oy and Live Foundation. The coordination partner acts as the overall manager of the project and is responsible for planning and coordinating the Alliance’s work, as well as supporting knowledge-based management. Local service providers will contribute resources to customer service and integrate local services into the alliance model.
“In the Neighbourhood Alliance, our focus is not on individual services, but rather on broader issues and tackling them as a whole. This is a long-term process of change, in which the system itself begins to reinforce successes,” sums up Vesa Sarmia from the Deaconess Foundation.
The following organisations act as local service providers:
• Startup Refugees/Phoenix ry (Itäkeskus–Vuosaari–Mellunmäki)
• Arffman Finland Oy (Kontula–Vesala–Jakomäki)
• Kuntoutussäätiö (Rehabilitation Foundation) (Malminkartano–Kannelmäki–Konala)
The Neighbourhood Alliance is being launched as a pilot project, but the aim is to develop an operating model that can later become a permanent part of Helsinki Employment Services.