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
  • Employment Contracts Act (55/2001)
  • Työsopimuslaki (55/2001)

Citation

Eurofound (2015), Finland: Reemployment obligation after restructuring, Restructuring legislation database, Dublin, https://apps.eurofound.europa.eu/legislationdb/reemployment-obligation-after-restructuring/finland

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