Eurofound's ERM database on restructuring-related legal regulations provides
information on regulations in the Member States of the European Union and Norway
which are explicitly or implicitly linked to anticipating and managing change.
Finland: Reemployment obligation after restructuring
Phase
The Employment Contracts Act (55/2001)
Native name
Työsopimuslaki (55/2001)
Type
Reemployment obligation after restructuring
Added to database
08 May 2015
Article
Ch. 6, Sec. 6
Description
If an employee is dismissed on financial or production-related grounds, and the employer needs new employees within four months of termination of the employment contract for the same or similar work as previously performed by the dismissed employee, the employer is obliged to reemploy the employee, provided that the employee is registered as a job seeker with the public employment services. The job must be specifically offered to the dismissed, unemployed employee. If the employment relationship had lasted for 12 years or more prior to its termination, the duration of the reemployment obligation is six months.
The law is generally applicable on all dismissals based on financial or production-related grounds.
Commentary
The duration of the reemployment obligation was reduced from nine months to four months (six months for employment relationships of 12 years or more) in 2016. Employer organisations supported the reform, while trade unions opposed it, arguing that employment security in Finland is comparably weak as it is and that a reduced reemployment period in no way improves the employment rate.
Some collective agreements contain provisions on longer reemployment periods.
Additional metadata
Cost covered by
None
Involved actors other than national government
Public employment service
Involvement (others)
None
Thresholds
Affected employees: No, applicable in all circumstances Company size: No, applicable in all circumstances Additional information: No, applicable in all circumstances
Sources
Ius Laboris (2009). Collective Redundancies Guide, Brussels
Watson Wyatt (2006). Employment Terms & Conditions Report Europe Volume I, Brussels
Alpha Consulting (2003). Anticipating & Managing Change - A dynamic approach to the social aspects of corporate restructuring, Brussels, European Commission
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