Workplace Report September 2016

European news

Finnish council workers get assurances on funding


The Finnish municipal workers’ union JHL has backed away from its threat to withdraw from the country’s “competiveness pact” after the government promised that it would make up any losses to local authorities’ budgets. 


JHL became concerned in August when it appeared that the government planned to make further cuts in its budget for 2017 to money provided to councils. 


JHL’s head Päivi Niemi-Laine said: “It is unfair to threaten that state budget cuts will be looked at again next spring when the competitiveness pact has just come into effect.” 


The pact freezes pay and worsens conditions, but has been accepted by the unions as a better solution than major cuts. 


In response, the government promised to monitor local authority spending and make the necessary adjustments, and on that basis, JHL agreed to continue its support for the pact.