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Finland

Background information on industrial relations in Finland

  • 22 Dec 2005
    Finland: Research examines position of unions at Nordic companies' operations in Baltic States
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    This article presents the findings - published in 2005 - of research conducted as part of the Nordic-Baltic Project, a collaboration among trade union organisations from the Baltic Sea region. The research examined the industrial relations situation at Nordic-owned companies operating in the construction and manufacturing sectors of the Baltic States (Estonia, Latvia and Lithuania). The levels of union organisation and the incidence of collective agreements were surveyed quantitatively, and interviews were conducted to assess working conditions, collective bargaining and the scope of employee participation. The evidence suggests that the position of workers varies greatly by sector, country, employer and the owners’ nationality.

  • 08 Dec 2005
    Finland: Viking Rosella case to be decided by the European Court of Justice
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    English Court of Appeal lifted in November 2005 the injunction set in June against the Finnish Seamen’s Union (SM-U) and the International Transport Workers' Federation (ITF). The court also decided to refer the matter to the European Court of Justice (ECJ) which is now to set a precedent that will determine whether unions have the right to take collective action in the face of companies using their right of moving freely between EU member states.

  • 29 Nov 2005
    Finland: Growing support for decentralisation of bargaining
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    In October 2005, the central employers’ organisation, Finnish Industries (EK), renewed its calls for a decentralisation of the Finnish wage bargaining system. Of the three trade union confederations, the Confederation of Unions for Academic Professionals in Finland (AKAVA) has largely backed such aspirations of EK in the past, while the Finnish Confederation of Salaried Employees (STTK) and the Central Organisation of Finnish Trade Unions (SAK) have been much less sympathetic. This time around, however, the response of STTK has been to consent to the key issue of cutting back on centrally agreed general pay increases in favour of workplace-level wage setting. However, this is on the condition that workers’ bargaining position at workplace level is first improved.

  • 07 Nov 2005
    Finland: New agreement signed in the property maintenance sector
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    The social partners in the property maintenance sector agreed in October 2005 on a new collective agreement which is to replace two of their current agreements. More scope was given for workplace level bargaining and the shop steward system was extended to cover the whole country.

  • 24 Oct 2005
    Finland: Independent unemployment insurance fund 'undermining unions'
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    Until 1992, trade unions administered all unemployment insurance funds in Finland - becoming a member of a fund simultaneously meant joining a union. Since 1992, unions have had to compete with an independent fund, YTK, whose membership reached a quarter of a million, or 10% of the labour force, in October 2005 and continues to grow. The link between union membership and the entitlement to earnings-related unemployment benefits is being increasingly eroded by the success of YTK, recent research indicates.

  • 10 Oct 2005
    Finland: Military officers achieve wider bargaining rights
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    A boycott of international operations by Finland's military Officers’ Union came to an end in September 2005 with the signing of an agreement. In the deal, trade unions in the defence forces were granted the right to negotiate more extensively on the employment conditions of staff posted abroad. Unlike for staff based in Finland, however, these conditions will still not be determined by collective bargaining.

  • 20 Sep 2005
    Finland: Low level of investment causes trade union concern
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    Domestic investments in Finland appear to have become permanently lower then they were prior to the recession of the early 1990s. This has led trade unions to demand more domestic expansion by Finnish companies. They have also argued that more pension fund investments should be directed to Finnish companies. A tripartite working group was set up to investigate the possibility of the latter. However, in August 2005 the group announced that it is not in favour of such a move.

  • 06 Sep 2005
    Finland: Court upholds Viking's right to negotiate with foreign unions on reflagged ship
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    A court ordered in June 2005 that the Finnish Seamen’s Union and its international parent organisation, ITF, must respect Viking’s right to negotiate with foreign unions on a ship it plans to reflag to Estonia. According to Viking, the ruling represents a major victory of principle and a precedent for the whole industry while the Seamen’s Union deemed it an attack against the European trade union movement.

  • 22 Aug 2005
    Finland: Extensive state pay reform under way
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    The central social partners in the Finnish state sector agreed in December 2004 that a pay structure they have been developing since 1993 should be extended to cover all state agencies. By July 2005, over half of the sector's employees were included in the new system, whereby up to a third of pay depends on employees’ individual competence. Opposition to the pay reform has been strong among border guards and university staff. They have argued that the reform increases competition and hierarchies among employees and leads to wider pay differentials.

  • 12 Aug 2005
    Finland: Border guards' strike ends
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    Negotiations between the Finnish Frontier Guard authority and the Border Guard Union concluded on 28 June 2005. The border guards ended their strike the following day and their union’s council approved the settlement on 18 July. The definition of essential workduring industrial action became a particularly sensitive issue during the negotiations; both the Frontier Guard and the government took steps to limit the effects of the strike by attempting to give supervisors the right to perform strikers' duties. Both attempts were ultimately blocked.

  • 27 Jul 2005
    Finland: Industrial relations strained by paper sector conflict
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    A difficult collective bargaining round in the Finnish paper industry, concluded in July 2005, has considerably increased tensions between the social partners and, to a lesser degree, among blue-collar trade unions. The dispute may also have wider consequences for the national industrial relations system.

  • 14 Jul 2005
    Finland: 2004 Annual Review for Finland
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    This record reviews the main industrial relations developments in Finland during 2004.

  • 07 Jul 2005
    Finland: Paper industry conflict resolved
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    The social partners in the Finnish paper industry finally concluded negotiations over new collective agreements on 1 July 2005, bringing to an end a six-week national lock-out of blue-collar paper workers by the Finnish Forest Industries Federation. A key issue in the conflict was the use of subcontracted labour.

  • 28 Jun 2005
    Finland: Public sector unions demand curbs on fixed-term jobs
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    The level of fixed-term employment remains high in the Finnish public sector (with around a quarter of all workers affected) and women in particular are involved. In 2005, several public sector trade unions have expressed their concern about the situation - for example, in June the VAL union lodged a complaint with the Parliamentary Ombudsman over the use of fixed-term contracts in the state sector.

  • 07 Jun 2005
    Finland: Border guards and commissioned officers clash with State employer
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    Unions representing commissioned officers and border guards have for the first time in their history officially resorted to industrial action. The Officers’ Union began a boycott of international operations in April 2005 and the Border Guard Union started a strike at the Finland - Russia border in May 2005.

  • 31 May 2005
    Finland: The Finnish social partners and the EU's Lisbon strategy
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    The reformulation of the European Union's Lisbon strategy has prompted discussions among the Finnish central social partner organisations in spring 2005. This article reviews the positions of the different actors in the debate.

  • 11 May 2005
    Finland: Thematic feature - unskilled workers
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    This article gives a brief overview of the industrial relations aspects of the topic of unskilled workers and unskilled work in Finland, as of February 2005. It looks at: national definitions of unskilled workers or work; the number of unskilled workers and workers in unskilled jobs, and the extent of unskilled work; employment and unemployment among unskilled workers; the regulatory framework; trade union organisation among unskilled workers; pay and conditions; recent initiatives to improve the situation of unskilled workers; and the views of trade unions and employers' organisations on the issue and its implications for collective bargaining.

  • 10 May 2005
    Finland: Strikes begin in the paper industry
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    Collective bargaining negotiations in the paper industry had still not advanced by early May 2005. Instead, the bargaining deadlock had resulted in lock-outs, a four-day national work stoppage and numerous selective strikes. A strike warning and a lock-out warning had also been issued by Paperiliitto and Metsäteollisuus respectively. These actions are to take place in the latter half of May. The conflict may even spread abroad as Sweden’s Pappersindustriarbetareförbundet and the EWCs of Stora Enso and UPM have promised their support to Paperiliitto.

  • 04 May 2005
    Finland: Disputes over employers' right to change collective agreements
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    Workplace-level bargaining ran into difficulties in several Finnish companies in the early months of 2005 due to attempts by employers to apply to their workforces different sectoral collective agreements than those that had previously governed their pay and conditions. Trade unions did not accept such changes and organised strikes in protest. Legal experts disagree over whether employers have the right to choose collective agreements to their liking.

  • 22 Apr 2005
    Finland: Contracting-out of welfare services a challenge for unions
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    Finnish local authorities are increasingly outsourcing their welfare services to the private sector, according to research published in February 2005. The main health and social sector trade unions, Tehy and KTV, have come to accept this fact but identify various problems with the process. KTV has responded by deciding to merge with five other unions from 2006 in an attempt to increase its bargaining power in the private sector.

  • 11 Apr 2005
    Finland: Deadlock in paper industry bargaining
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    By the beginning of April 2005, collective bargaining negotiations had been successfully concluded in all the major sectors that had remained outside the scope of the recent centralised agreement. The only exception was the paper industry where the social partners have thus far hardly found any common ground.

  • 01 Apr 2005
    Finland: Outrage over collective redundancies at TeliaSonera
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    TeliaSonera Finland, the country’s leading telecom company, announced in February 2005 that it is to cut its workforce by up to 650 employees in order to increase its competitiveness. YTN and TU have condemned the measure on grounds that the company is highly profitability and as such it has no right to carry out large-scale collective redundancies on economic grounds.

  • 14 Mar 2005
    Finland: Nokia accused of labour rights violations
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    In January 2005, a group of shop stewards at the Finnish-based multinational Nokia accused the company of disregarding workers’ rights. They alleged that Nokia has adopted such obstructive practices that it has been impossible for them to perform their role as trade union representatives. Moreover, they argued that the position of redundant workers at the company is too vulnerable. Nokia has rejected much of the criticism but has promised to improve the position of shop stewards.

  • 14 Mar 2005
    Finland: Employers' think-tankassuming an active role
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    The Finnish Business and Policy Forum (EVA ) has been increasingly taking part in public debate in recent times, arguing strongly for employers’ interests. In December 2004, it was given a further boost by the appointment of a new high-profile board of directors and by bringing it closer to the employer-funded research institute, ETLA. The Finnish Confederation of Salaried Employees (STTK) responded to EVA’s challenge in January 2005 by proposing the establishment of a similar organisation for the labour movement.

  • 15 Feb 2005
    Finland: New rules on workplace privacy come into force
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    Legislation on workplace privacy was reformed in Finland in October 2004. The new rules, governing drug tests, video surveillance and e-mail privacy, are in accordance with the proposals of the social partners. These issues are now increasingly to be determined through workplace-level bargaining.

  • 02 Feb 2005
    Finland: New incomes policy agreement signed
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    A new central incomes policy agreement was signed by the Finnish social partners in December 2004. The deal lasts two and a half years (the longest duration yet for such agreements) and increases wages by 2.5% in 2005 and by 2.1% in 2006. The structure of pay policy has been somewhat altered to allow for more income differentiation, as demanded by employers. Meanwhile, trade unions achieved their central goal of increasing redundancy protection for workers. Some major sectors remain outside the agreement, whose coverage stood at about 90% of employees by January 2005.

Page last updated: 03 February, 2011