Incomes talks begin - Prime Minister Vanhanen pleased

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The launch on Tuesday of broad-based incomes talks involving the main employers’ organisations and trade union confederations was welcomed by the government.
      Soon after their first meeting, the labour market leaders met with Prime Minister Matti Vanhanen (Centre) and Finance Minister Antti Kalliomäki.
      "We think that this is very good. We have aimed at this", Vanhanen said after the meeting.
      "We feel that Finland needs a comprehensive, moderate, and long-term contract that will make it possible to plan economic development and decisions to be made by the state in a more sustained manner, in order to achieve predictable and stable development", the Prime Minister added.
     
Vanhanen described the atmosphere of the meeting as positive.
      "Everyone understands the responsibility that this group carries. Finland is such a small country that we still have the possibility, and the capability, for common national projects - to coordinate decisions by the labour market organisations on pay formation with decisions to be made on the state level."
      "This group can have much influence on how the environment of economic activity in Finland develops in the coming years."
     
The government has much riding on the success of the incomes talks. In the budget, the entire capacity for tax cuts, and the government’s economic policy as a whole, hinges on keeping wage increases at a moderate level.
      In addition to a tax cut, the government has promised to invest more in infrastructure projects as well as in research and development funding.
      The leaders of the main labour market organisations held their first round of actual talks on Tuesday afternoon. At their first meeting the sides agreed on the composition of two working groups.
      There will be two more meetings before the end of the week. The government is represented at the meetings by top Finance Ministry official Raimo Sailas.


Previously in HS International Edition:
  Broad-based incomes talks to begin - situation seen as difficult (28.10.2004)
  Employers' Fagernäs: Unions' wage demands cannot be accepted (8.10.04)

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