Prime Minister and President disagree on globalisation policy
Globalisation report published
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Prime Minister Matti Vanhanen (Centre) takes a much more positive view of the consequences of globalisation than President Tarja Halonen.
Vanhanen took a strong stand supporting globalisation on Tuesday when he accepted the final report of the "Finland in the World Economy" working group. Halonen, meanwhile, is on the record as criticising globalisation as an immoral and politically unsustainable system.
In its report, the working group wants the creation of more jobs for Finland, strong economic growth, and a sustainable financial base for welfare services.
There was disagreement over whether or not the report should contain a section on labour reform.
According to Prime Minister Vanhanen, Finland does not attract enough foreign capital or expertise; there are not enough companies experiencing growth, there is room for improvement in competition, and the possibilities of the so-called creative economy are not sufficiently utilised.
At a press conference held at the Prime Minister’s official residence in Kesäranta, Vanhanen said that globalisation has meant an improved quality of life and standard of living for hundreds of millions of people.
"Globalisation has been a positive opportunity for all of humanity, and this must be the basic attitude for Finland and the Finns to take on this issue", Vanhanen said.
The comments are in stark contrast with those of President Halonen, who said in her speech to the OECD Council in October: "Globalisation has huge potential to improve people’s lives in many ways, but today it falls short of this promise. Too few are benefiting and too many are suffering or are excluded from globalisation."
In September at the UN in New York she described globalisation as "morally wrong and politically unsustainable".
The chairwoman of the globalisation working group, Anne Brunila, director-general at the Ministry of Finance, stressed on Tuesday that the group had reached agreement on all key issues. However, the report might not have appeared in the form it was presented if the group had not agreed that it would be signed only by Brunila and the deputy chair, Vesa Vihriälä.
The Social Democratic Party representative on the working group, Pertti Rauhio, special aide to Finance Minister Antti Kalliomäki (SDP), wanted the parts of the report concerning labour reform either removed or rewritten.
Rauhio said that the decision that the political members of the working group would not sign the report helped avoid speculation as to whether or not the government is committed to carrying out its proposals.
Although Anne Brunila said that the importance of the proposals on labour reform should not be overemphasised, there were angry reactions from the trade union side.
Seppo Junttila, secretary-general of the Finnish Confederation of Salaried Employees (STTK), saw the report as an attempt to interfere with matters to be agreed upon on a tripartite basis - with trade unions, employers, and government representatives.
Pertti Parmanne of the Central Organisation of Finnish Trade Union was especially critical of the proposal to allow deviation from a broader labour contract as an alternative to job cuts or layoffs.
Parmanne found it a "shocking" idea that an employer could be released from the obligations of labour contracts by threatening to enact job cuts or layoffs.
Vanhanen took a strong stand supporting globalisation on Tuesday when he accepted the final report of the "Finland in the World Economy" working group. Halonen, meanwhile, is on the record as criticising globalisation as an immoral and politically unsustainable system.
In its report, the working group wants the creation of more jobs for Finland, strong economic growth, and a sustainable financial base for welfare services.
There was disagreement over whether or not the report should contain a section on labour reform.
According to Prime Minister Vanhanen, Finland does not attract enough foreign capital or expertise; there are not enough companies experiencing growth, there is room for improvement in competition, and the possibilities of the so-called creative economy are not sufficiently utilised.
At a press conference held at the Prime Minister’s official residence in Kesäranta, Vanhanen said that globalisation has meant an improved quality of life and standard of living for hundreds of millions of people.
"Globalisation has been a positive opportunity for all of humanity, and this must be the basic attitude for Finland and the Finns to take on this issue", Vanhanen said.
The comments are in stark contrast with those of President Halonen, who said in her speech to the OECD Council in October: "Globalisation has huge potential to improve people’s lives in many ways, but today it falls short of this promise. Too few are benefiting and too many are suffering or are excluded from globalisation."
In September at the UN in New York she described globalisation as "morally wrong and politically unsustainable".
The chairwoman of the globalisation working group, Anne Brunila, director-general at the Ministry of Finance, stressed on Tuesday that the group had reached agreement on all key issues. However, the report might not have appeared in the form it was presented if the group had not agreed that it would be signed only by Brunila and the deputy chair, Vesa Vihriälä.
The Social Democratic Party representative on the working group, Pertti Rauhio, special aide to Finance Minister Antti Kalliomäki (SDP), wanted the parts of the report concerning labour reform either removed or rewritten.
Rauhio said that the decision that the political members of the working group would not sign the report helped avoid speculation as to whether or not the government is committed to carrying out its proposals.
Although Anne Brunila said that the importance of the proposals on labour reform should not be overemphasised, there were angry reactions from the trade union side.
Seppo Junttila, secretary-general of the Finnish Confederation of Salaried Employees (STTK), saw the report as an attempt to interfere with matters to be agreed upon on a tripartite basis - with trade unions, employers, and government representatives.
Pertti Parmanne of the Central Organisation of Finnish Trade Union was especially critical of the proposal to allow deviation from a broader labour contract as an alternative to job cuts or layoffs.
Parmanne found it a "shocking" idea that an employer could be released from the obligations of labour contracts by threatening to enact job cuts or layoffs.
Helsingin Sanomat