Collective Agreement Technology Industries Finland

September 14, 2021

120,000 employees. The terms of a collective agreement apply to all workers, both unionized and non-members. A national collective agreement can be adapted on the basis of the company, but cannot be demoted. In recent years, additional possibilities for local collective bargaining have been introduced in collective agreements, for example as regards flexible working time. As part of the agreement, the primary objective is to agree on salary adjustments on the spot, taking into account the circumstances of the company. In case of failure of the agreement on a local pay slip, wages will be adjusted in accordance with the so-called recidivism clause of the collective agreement. In addition to formally negotiated collective agreements, the social partners conduct reciprocal discussions on working life during the term of the contract under the so-called “continuous bargaining” system. This practice has become more prevalent over the past decade. The evolution of costs and revenues and their relationship to collective agreements. The Working Time Act regulates overtime and how it is to be paid and defines overtime as “work performed at the initiative of the employer in addition to normal working hours” (Working Time Act, 2011).

The maximum allowable number of overtime hours is 138 hours per four months, provided that it does not exceed 250 hours per year. The social partners may provide for derogations from these provisions in collective agreements, provided that these exceptional periods do not exceed 12 months and that the annual overtime limit is respected. YTN`s contractor in the collective agreement is the Finnish Technology Industries Association. The collective agreement of managers is generally mandatory, which means that unins organized enterprises of employers` unions must also comply with the terms of the agreement. Share of employees covered by collective agreements About 200,000 employees work in the electronics and electrical engineering, mechanical engineering and metallurgy sectors. YTN represents around 60,000 senior executives, senior managers and experts in the sector. The collective agreement is the country`s second industrial collective agreement. The gender pay gap was around 20% in Finland at the beginning of the twenty-first century, but has narrowed slightly since then to around 17% from 2017 (Ministry of Social Affairs and Health, 2017).

The Employment Contracts Act and the Non-Discrimination Act require equal treatment of workers in all aspects of working life, including wages. .