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3 May, 2010
In October 2009, Paperiliitto of Finland faced a re-opener inside a 22-month labour agreement. Then, the state of the Finnish pulp and paper industry was so depressed that employers were certain to seek deep concessions from the union’s 20,000 members.
Instead, Paperiliitto opted to let the collective agreement terminate and wait until spring 2010 to renew bargaining. Even though the industry is not much better off now than it was last year, that strategy has worked. In recent weeks, the union and the Finnish Forest Industries Federation came to agreement on a two-year contract that began 8 April and runs until 31 March 2012.
The new agreement contains no concessionary items. In fact, several forward-looking contract language provisions have been inserted in the agreement. Finnish paperworkers will realize a modest 2010 wage increase of 0.5%. A second-year wage increase and possible further language modifications will be negotiated before 15 March 2011.
Paperiliitto President Jouko Ahonen
“Paperiliitto’s Union Council believes this new agreement creates a good foundation for Finnish employers to secure continuous production at the endangered mills and gives our members the job security they deserve,” said President Jouko Ahonen.
The new agreement contains five amendments intended to protect workers in terms of job security. One major aspect of the accord is creation of six labour-management sub-groups that will engage in continuous negotiations on select items.
Paperiliitto achieved trial language in the contract that makes alternative work due to injury or sickness to be non-compulsory, with any assigned alternative work subject to the individual employee’s consent. A work-time bank was also established, thus opening flex-time scheduling at the local level through negotiations between Paperiliitto’s chief shop stewards and mill management. And a prior, tentative provision from 2008 giving workers three-day sick leave without a medical certificate was made permanent, a precedent inside Finland.
In ratifying the agreement last month, Paperiliitto’s Union Council sounded warning to Finland’s government that upcoming decisions on energy supply for the pulp and paper industry must be made with job retention in mind. As well, the Council noted, “The government can secure raw material supplies to the forestry industry in a far better way than previously. Besides close cooperation between the government and social partners, timely measures are required to secure the sustainability of employment, growth, and public financing.”