Local government employees achieve settlement

An important breakthrough occurred in collective bargaining in Finland on Wednesday with a new settlement on terms of employment in the local government sector. All of the unions in the sector have provisionally approved the new accord, with the exception of the nursing and care workers&#;8217 unions Tehy and SuPer, which are still considering the settlement. Tehy, the Union of Health and Social Care Professionals, represents a wide range of nursing and other highly trained health care staff, while the members of the Finnish Union of Practical Nurses, SuPer, are mainly social welfare and health care professionals with secondary education and special vocational training.

The new settlement envisages nationally binding collective agreements for employees and public servants in the local government sector from 1 October 2007 to 31 January 2010. The agreements will incorporate pay rises totalling 11 per cent over this 28-month period. These pay rises include an equality allowance of 2 per cent earmarked for educated employee classes in which women are disproportionately represented, such as the care and social welfare sector and nursery school staff. All local government employees will also receive a lump sum bonus of EUR 270 in December 2007.

The Finnish government has promised an annual subsidy of EUR 150 million to local authorities to fund pay rises in sectors requiring advanced education and training where the majority of staff are women.

The Trade Union for the Public and Welfare Sectors - JHL, which is affiliated to SAK, is willing to approve collective agreements for employees and public servants that are in line with the new settlement. These agreements are due to be signed on 1 October 2007, by which time Tehy and SuPer may also sign up to them.

The latest round of collective bargaining in Finland has been keeping the unions and employers’ organisations busy since June. Prior to this latest settlement in the local government sector, most of the agreements achieved to date have been in industrial sectors organised by SAK-affiliated trade unions. The level of pay rises and the duration of these agreements have been broadly the same as the outcome now reached for local government staff.