Labour market: framework contract to be implemented

Transport sector reaches agreement after tense talks

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Finland’s central labour market organisations have signed the broad-based “framework contract”, which was negotiated earlier in the autumn.
      The implementation of the agreement became possible in the early hours of Monday when organisations representing the transport sector ironed out their disagreements. Consequently, the framework agreement now has sufficient coverage.
     
The Confederation of Finnish Industry (EK) says that 94 per cent of the labour market field are now included in the framework, including 91 per cent of EK member organisations and 100 per cent of the public sector. The Finnish Construction Union did not join the framework agreement.
      “The framework is sufficiently comprehensive”, says EK managing director Mikko Pulkkinen.
     
According to Lauri Lyly, president of the Central Organisation of Finnish Trade Unions (SAK), the framework contract is more extensive than any other in Finnish history.
      Lyly emphasised that the comprehensive agreement involving the central organisations make it easier to agree on developing working life than agreements on the individual union level.
     
Detailed information on the agreements that had been reached was not immediately available, but observers say that the outcome will make it considerably easier to deal with problems of the national economy in the coming years.
      The broad-based framework agreement sought by the government and labour market organisations was put in jeopardy by disagreements in labour talks on road transport and harbours.
     
The atmosphere in the talks was described as tense all Sunday, with both management and labour accusing each other of pushing the talks into a deadlock.
      Industry representatives accused the Finnish Transport Workers Union (AKT) of pushing for pay hikes for the coming two years that exceeded those set up in the draft framework agreement by 2 - 3.5 percentage points.
     
Prime Minister Jyrki Katainen (Nat. Coalition Party) welcomed the agreement on Monday, saying that it adds stability and predictability and reduces risks.
      The government has promised a number of measures to back up the accord, including easier terms for corporate taxation and compensation for employees who are temporarily laid off.


Previously in HS International Edition:
  Threatened bank strike averted (23.11.2011)
  Strike ends in IT service sector (10.11.2011)
  Technology strike ends - sides agree to 25-month contract (25.10.2011)
  Broad-based incomes framework reached - tough negotiations expected at individual union level (14.10.2011)

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