The 200,000 member strong Industrial Union has, in a way, negotiated for two million employees in the past, too. Now, this is being written into law, says Antti Malste.

Role of the Industrial Union likely to grow

13.11.2024

TEXT HEIKKI JOKINEN
PHOTO ANTTI HYVÄRINEN

The impor­tance of collec­tive bargai­ning will not disap­pear in Finland. Notwiths­tan­ding the fact that the Orpo-Purra Govern­ment strongly favours emplo­yers when it comes to the labour market rules and structures.

– In Finnish society, the impor­tance of collec­tive bargai­ning is still cent­ral. Our labour law still stipu­la­tes very little about mini­mum condi­tions. These are deci­ded in the gene­rally binding collec­tive agree­ments, says Antti Malste, the Head of Exter­nal Commu­nica­tions in the Industrial Union.

The fact that legis­la­tion does not define a mini­mum salary or terms of emplo­y­ment, makes collec­tive bargai­ning impor­tant for all wage and salary earners. Many of the collec­tive agree­ments are gene­rally binding. These set the mini­mum terms of emplo­y­ment that every company in the branch of industry must follow.

Now, the Govern­ment advoca­tes a so-called export-led wage model. They want to stipu­late that the Natio­nal Conci­lia­tor cannot propose, for any sector, pay rises that exceed the ones reac­hed in the export sector.

The task of the Natio­nal Conci­lia­tor is to assist collec­tive bargai­ning by conci­lia­ting labour dispu­tes when outside help is needed to strike a deal. The arbit­ra­tion system is based on the Act on Media­tion in Labour Disputes.

In Finnish society, the impor­tance of collec­tive bargai­ning is still central.

Tradi­tio­nally, the nego­tia­ting parties go to meet the Natio­nal Conci­lia­tor only when nego­tia­tions have reac­hed an impasse.

– Should the law be accep­ted, the impor­tance of the Natio­nal Conci­lia­tor will decrease drama­tically. Conver­sely, the role of the Industrial Union will increase consi­de­rably. The export-led industry, on the basis of the law, will set the ceiling for all pay rises, Malste says.

Anot­her consequence of the new law can be an increase in the number of strikes.

– In the future, emplo­yers will have no inte­rest in resol­ving dispu­tes with emplo­yees, but opt to take the case to the Natio­nal Conci­lia­tor. He or she offers at most what has been reac­hed in the export industry agree­ments. Only by stri­king, can one get more than that offe­red by the office of the Natio­nal Conciliator.

 

Poli­tics or negotiations?

The Orpo-Purra right-wing Govern­ment has become invol­ved to an excep­tio­nal extent in the workings of the labour market. This is unusual in Finland, where the trade unions and emplo­yers’ associa­tions have had a wide measure of auto­nomy to nego­tiate agreements.

With this new policy, the govern­ment has, in fact, made itself a party in labour market issues. This deve­lop­ment is not right.

– Labour market issues are beco­ming poli­tici­sed. These issues are being put before parlia­ment more and more, which is not a good thing. This dimi­nis­hes the predic­ta­bi­lity of the labour market and weakens the possi­bi­li­ties of emplo­yees and emplo­yers agree­ing on matters concer­ning the issues of their daily life, says Antti Malste, the Head of Exter­nal Commu­nica­tions in the Industrial Union.

Workers should not take it as given, that future govern­ments will essen­tially over­turn the deci­sions made now. Right-wing parties trust and believe that even in the future, govern­ments will include men and women who will guaran­tee that labour legis­la­tion will not change in favour of emplo­yees, Malste says.

– This means that emplo­yees should take better care to ensure that their voice is also strongly made heard in parliament.