Finland
Background information on industrial relations in Finland
- 22 Dec 2008
Finland: Restructuring dispute at Finnair continuesIn September 2008, all employee groups unanimously rejected a proposal by the Finnish national carrier Finnair to cut wages and salaries or freeze previously agreed pay rises, as a new cost-cutting measure by the company. Over the past few years, Finnair has already cut 700 jobs, and recently announced its plan to reduce its workforce by a further 400 employees. Moreover, the company’s decision to replace Finnish crew with Spanish crew on its Asia-bound flights has sparked controversy.
- 19 Dec 2008
Finland: Finland: Temporary agency work and collective bargaining in the EUA new law concerning the responsibility of contractors and using hired work and external labour came into force on 1 January 2007. The purpose of the law is partly to create better preconditions for subscriber enterprises to ensure that their subcontractors are adhering to collective agreements. According to the Employment Contracts Act, the conditions of TAWorkers are safeguarded so that they are defined on the same basis as those for permanent workers in the user enterprise. In 2007 there were approximately 26,000 full time equivalents over a 12 month period. The revenue of the TAW sector in 2007 was approximately €1,000 million.
- 11 Dec 2008
Finland: Industrial relations in the public sector – FinlandThis report presents an overview of industrial relations in the central government and public sector in Finland.
- 08 Dec 2008
Finland: Representativeness of the European social partner organisations: Railways sector – FinlandThe aim of this representativeness study is to identify the respective national and supranational actors (i.e. trade unions and employer organisations) in the field of industrial relations in the railways sector in Finland. In order to determine their relative importance in the sector’s industrial relations, this study will, in particular, focus on their representational quality as well as on their role in collective bargaining. The study is divided into two parts: the first part deals with railway transport operations, based on research carried out in 2006; the second part focuses on rail infrastructure based on research completed in 2007.
- 24 Nov 2008
Finland: Dismissal of journalist sparks debate over sexual orientation biasThe dismissal of a recently appointed newspaper editor-in-chief, allegedly over her lesbian relationship, has sparked a heated debate about discrimination on the basis of sexual orientation in the Finnish workplace. Although surveys have found that discrimination on such grounds is not uncommon, it seldom arises as a problem in trade union consultations.
- 07 Oct 2008
Finland: Over a third of employees receive bonus pay in 2007According to the wage statistics of the Confederation of Finnish Industries (EK), result and profit-based bonuses were paid to more than a third of all employees in EK’s member companies in 2007. However, the prevalence of bonus pay varied significantly between occupational groups and economic sectors, with the highest proportion of workers in receipt of bonus pay being found in manufacturing. The study also examined bonus pay amounts and average earnings in Finland.
- 29 Sep 2008
Finland: National Conciliator criticises use of sympathy strikesFinland’s National Conciliator, Juhani Salonius, has criticised the ‘solidarity’ and sympathy strikes staged by workers and trade unions. In response, the trade unions have accused Mr Salonius of aligning himself with the employers and insist that the current provisions concerning the right to strike should not be altered. Mr Salonius has also criticised the lack of consensus in relation to rules on protected work and does not agree that strike fines should be increased.
- 15 Sep 2008
Finland: Government issues new action plan for gender equalityThe Finnish government has issued a new action plan for 2008–2011 to promote gender equality. Priorities include promoting women’s careers, gender equality awareness in schools and work–life balance, as well as reducing the gender pay gap, gender segregation in the labour market and violence against women. The government will continue the tripartite equal pay programme and support measures undertaken by labour market organisations to advance gender equality and equal pay.
- 15 Sep 2008
Finland: Tax cuts proposed under 2009 budget planAs part of the new budget plan for 2009, the Finnish Ministry of Finance proposes income tax cuts worth €800 million. Under the proposal, the tax cuts would be distributed equally over all income levels, and would also apply to pensioners. Employer organisations have declared themselves to be generally satisfied with the budget proposal, whereas the trade union confederations have expressed disappointment at the allocation of tax cuts.
- 07 Aug 2008
Finland: Finland: representativeness of the European social partner organisations – Sea and coastal water transportIn 2005, 235 companies employing almost 8,000 employees were operating in the sea and coastal water transport sector in Finland. In the sector, there are three employers’ associations and three trade unions. The employers’ associations are The Finnish Shipowners’ Association (Suomen Varustamoyhdistys, SVY), the Cargoship Association (Rahtialusyhdistys) and the Aland Shipowners’ Association (Alands Redarföreningen, AR). Trade unions in the sector are the Finnish Seamen’s Union (Suomen Merimies-Unioni, S-MU), the Finnish Ship’ Officers’ Association (Suomen Laivänpäällystöliitto, SLPL) and the Finnish Engineers’ Association (Suomen Konepäällystöliitto, SKL). Both employer density and the union density in the sector are high. Five collective agreements in the sector are considered generally binding. The coverage is therefore nearly 100 %. At the moment, two tripartite bodies are dealing with sector-specific issues (the Advisory Committee for Seamen’s Affairs and the Advisory Committee of Navigation). One important sector-specific tripartite organisation is the Finnish Seamen's Service (Merimiespalvelutoimisto, MEPA which is established in 1973) which is based on ratified ILO Convention (No. 163) concerning Seafarers' Welfare at Sea and in Port. The sea and coastal water transport sector in Finland is well-established and there is no jurisdictional disputes or problems of this kind
- 17 Jul 2008
Finland: Employers announce the end of centralised tripartite bargaining structureThe Confederation of Finnish Industries (EK) has announced that sectoral, company and even individual-level bargaining will be the negotiation models of the future. EK has for a long time argued that the solidaristic wage policy offering equal pay increases to every branch of the economy and employee group has come to an end. With the renouncement of the centralised bargaining model, trade union confederations will be compelled to intensify their cooperation.
- 15 Jul 2008
Finland: Representativeness of the European social partner organisations: Post and courier services – FinlandThe aim of this representativeness study is to identify the respective national and supranational actors (i.e. trade unions and employer organisations) in the field of industrial relations in the post and courier services sector in Finland. In order to determine their relative importance in the sector's industrial relations, this study will, in particular, focus on their representational quality as well as on their role in collective bargaining.
- 14 Jul 2008
Finland: Representativeness of the European social partner organisations: Manufacture of sugar – FinlandThe aim of this representativeness study is to identify the respective national and supranational actors (i.e. trade unions and employer organisations) in the field of industrial relations in the sugar manufacturing sector in Finland. In order to determine their relative importance in the sector’s industrial relations, this study will, in particular, focus on their representational quality as well as on their role in collective bargaining.
- 11 Jun 2008
Finland: Trade unions concerned about increase in unpaid overtimeUnpaid overtime is an issue on the agenda of trade unions operating in the knowledge-intensive sectors of the economy. The Federation of Professional and Managerial Staff has evaluated that the average upper clerical employee can lose up to €400,000 during their career if no compensation is received for overtime. In any case, the concept of unpaid overtime is a complex phenomenon in Finland.
- 11 Jun 2008
Finland: Survey finds most Finns in favour of industrial actionAccording to a recent TNS Gallup opinion poll, industrial action is widely supported by Finnish citizens. Three quarters of the respondents consider that the current provisions regarding employees’ right to strike are balanced. In addition, over half of the respondents believe that the government should intervene in the operation of state-owned companies. However, employers argue that the current provisions concerning the right to strike are too extensive.
- 03 Jun 2008
Finland: Labour market organisations reflect on restructuring and productivityA joint round table on productivity with representatives of all labour market organisations was established in 2007. Its aim is to promote cooperation between the country’s labour market organisations regarding issues such as productivity and quality of working life in Finland. In a first analysis, the round table has examined the effects of restructuring in terms of new job creations and jobs lost over the past decade.
- 09 May 2008
Finland: Unions to agree rules of industrial actionFinland’s three main trade union confederations are preparing a joint settlement regarding the country’s rules of industrial action. The work is being undertaken in light of the government act which made it possible to order healthcare professionals to continue working even if the person in question has resigned. The confederations are willing to agree on joint rules, particularly regarding protected work, before the government takes any legal measures to restrict the right to industrial action.
- 08 May 2008
Finland: Social partners join forces to promote gender equalityThe Central Organisation of Finnish Trade Unions has declared 2008 as the jubilee year for gender equality, while the Confederation of Unions for Academic Professionals welcomed the agreed pay rises for highly-educated women during the public sector bargaining round in the autumn of 2007. Meanwhile, the Minister of Labour has proposed a parental leave scheme with fixed leave periods attributed to each parent of a child, in order to encourage more fathers to take such leave.
- 14 Apr 2008
Finland: Increase in share of locally bargained pay risesFinland’s pay increase structure has traditionally been dominated by general pay increases, while the proportion of locally bargained pay rises has been quite insignificant. However, in 2008 and 2009, this proportion could cover a quarter of workers in the private sector, providing for almost half of the overall pay increase agreed. Forerunners of locally bargained wages have included the financial services sector and technology industry.
- 24 Mar 2008
Finland: Confederation of Finnish Industries brings trade union to Labour CourtThe affiliated associations of the Confederation of Finnish Industries (EK) have summoned the Union of Salaried Employees (TU) to the labour court. According to EK’s Director of industrial relations, Seppo Riski, TU has become the cause of major disturbances in the Finnish labour market in recent times as a result of the various kinds of industrial action organised by the union.
- 17 Mar 2008
Finland: Study reveals allegations of sexual harassment in parliamentAn extensive discussion on sexual harassment has taken place, following the publication of findings which show that as many as one third of women employed by the Finnish parliament report having experienced sexual harassment in the workplace – in particular, verbal and even physical harassment – often by members of parliament (MPs). As a result, a number of female MPs want to examine the possibility of widening the scope of gender equality legislation.
- 04 Mar 2008
Finland: Legislative reform to improve employment rights and conditionsA number of labour market changes in Finland came into effect in January 2008. Legislation providing a right to sabbatical leave has been renewed for 2008–2009. Furthermore, failure to report reasonable grounds of terms and conditions of employment will constitute an offence, punishable by a fine. Following a six-month transition period, the revised Act on cooperation within undertakings is now also in force in companies with 20−29 employees.
- 04 Mar 2008
Finland: Workers react to threat of closure of paper pulp millsIn January 2008, about 300 people staged a sit-in protest against the proposal of paper manufacturer Stora Enso to close its local pulp mill in Kemijärvi in northern Finland. The company subsequently announced that it would cut its Finnish workforce by 985 people and close its Kemijärvi and Summa mills. Recently, political and trade union pressure to save pulp mills has grown, despite the government’s reluctance to interfere.
- 25 Feb 2008
Finland: Work of underpaid Polish construction workers suspendedA Finnish construction company has called a halt to work carried out by a Polish subcontractor at the building site of the Helsinki Music Centre, after articles in the press stated that Polish construction workers had been paid less than €2 an hour at the site. The representative trade union in the construction sector had already protested against the Polish building company Ekomel operating as a subcontractor at Finnish building sites.
- 31 Jan 2008
Finland: Representativeness of the social partners: Gas sector –FinlandThe aim of this representativeness study is to identify the respective national and supranational actors (i.e. trade unions and employer organisations) in the field of industrial relations in the gas sector in Finland. In order to determine their relative importance in the sector’s industrial relations, this study will, in particular, focus on their representational quality as well as on their role in collective bargaining.
- 28 Jan 2008
Finland: Pay rise for public sector workers under new collective agreementsIn September 2007, new collective agreements on terms of employment have been concluded in the public sector at local and central government level. The agreements took effect from 1 October 2007 and will expire on 31 January 2010. Under the terms of the agreements, public sector workers will receive pay increases of about 11% for most workers over the 28-month period of the agreements.
- 28 Jan 2008
Finland: Nurses get pay rise in dispute settlement dealIn November 2007, following a period of lengthy negotiation and threats of industrial action and mass resignations by the Union of Health and Social Care Professionals (Tehy), the trade union finally concluded a new collective agreement on nurses’ pay with the Commission for Local Authority Employers. The new agreement will only apply to nurses represented by Tehy.
- 21 Jan 2008
Finland: Nurses’ dispute in settlement talksOver 12,000 nurses belonging to the Union of Health and Social Care Professionals planned to take part in a mass resignation on 19 November 2007 if no pay and working conditions agreement was reached. As a result, national conciliator Juhani Salonius and a special mediation board have attempted to reach a settlement. The government has meanwhile forwarded a bill to parliament defining a law that would make it possible to order healthcare professionals to take on essential jobs for patient safety, even if the worker in question has resigned or retired.
- 14 Jan 2008
Finland: Controversy over law restricting right to strike in healthcare sectorA new government act which has made it possible to order healthcare professionals to continue working even if the person in question has resigned has evoked animated discussion among the social partners about the rules of industrial action. Trade unions have condemned the act as an intervention of employees’ right to strike, while the heads of trade union confederations have also demanded that the responsibility of trade unions in the case of protected work be improved.
- 14 Jan 2008
Finland: High pay increases agreed in 2007 sectoral bargaining roundFollowing the centralised national incomes policy agreement for 2005−2007, which provided for relatively moderate pay increases, the sectoral or branch-level collective bargaining round has resulted in high pay increases for all employees. Due to the level of pay increases in the sectoral agreements, the government has decided not to reduce employees’ income tax in 2008.