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25 April, 2011
Metalliliitto, Finland’s Metalworkers’ Union, has reached a tentative agreement with KMW Engineering, preventing for now a blockade on construction of the nuclear power reactor Olkiluoto III. On 13 April, the Polish air-conditioning subcontractor agreed to compensate workers for shortfalls in pay required under Finnish labour standards.
Under the agreement, KMW Engineering did give an accounting that showed arrears in Sunday and overtime pay. It agreed to compensate back wages and pledged to uphold Finnish terms of employment in the future. It also agreed to correct its deficient safety and health standards on the 1.6 gigawatt (1,600 megawatt) nuclear plant.
Construction of Olkiluoto III
Photo: YLE/Termonen Tapio
Metalliliitto had given the subcontractor until 15 April to comply with Finnish social standards, or face a construction-wide blockade that would have halted all work on Finland’s fifth nuclear reactor. (See ICEM report from 28 March.) A Metalworkers’ blockade had endorsement and would have been honoured by Finland’s Construction Trades Union, the Electrical Workers’ Union, and Proliitto, the union for salaried workers of Finland.
A regional state labour agency of Finland’s South-West found in late March that KMW did not keep overtime records as required under the working hours act. It also determined that payment of wages for Sunday and overtime work varied. Failure to comply could have brought state sanctions to the nuclear construction site, which would have affected other contractors.
Metalliliitto Compliance Officer Jyrki Virtanen said the union will now fully monitor future social conduct by KMW Engineering. The Olkiluoto III nuclear power station is owned by private-sector energy concern Teollisuuden Voima Oy (TVO), and has as general contractor Areva of France. Olkiluoto III, a €3.95 billion project that is now €1.5 billion over budget, is the biggest investment in the history of Finnish industry.