The member unions of the the main labour confederation, the Central Organisation of Finnish Trade Unions (SAK), are seeking 10-percent salary increases for the next contract period.
Unveiling specific targets for wage rises at this stage of the process is highly unusual, as such announcements are seen as potentially hindering negotiations.
The SAK aims for a six-percent wage increase during the first year of the next collective bargaining contract. The unions are targeting an increase of at least 150 euros for each worker’s monthly salary.
For the second year, the goal is four percent, which would mean an increase of at least 100 euros in monthly wages.
In the last contract round, SAK's unions stated vaguely that they were seeking a salary solution comparable to the increases in German industrial negotiations. The SAK’s 18 affiliated trade unions represent more than 800,000 workers.
"No significant progress" yet in tech and chemical talks
Riku Aalto, the chair of the Industrial Union, which is currently negotiating the main preliminary agreements during this contract cycle, said that no significant progress has been made in a couple of months of negotiations.
The Industrial Union is currently negotiating with the chemical industry and the tech sector, which recently forecast weak economic prospects.
"There are companies in the industry that are doing well and others that are not. We can't set salary demands according to the best or the worst. We're trying to find a solution that takes the overall situation into account. However, our biggest concern is that workers can get by on their salaries," Aalto said.
Union bosses say they have intensified their cooperation and changed their operating model due to changes in the labour market — pointing specifically to labour reforms pushed through by the right-wing government that took office last year.
The labour movement sees the tripartite process of preparing these reforms as a sham that favours employers. Last winter the SAK led a series of political strikes to protest the government's plans, with little apparent effect.
The extraordinary joint decision regarding salary increases was also based on the fact that the employers' side has also tightened its ranks, according to Annika Rönni-Sällinen, chair of the service industry trade union PAM.
According to SAK chair Jarkko Eloranta, this round of collective bargaining negotiations is taking place in an exceptionally challenging situation, with wage-earners' purchasing power in a slump.
Female-dominated sectors hardest hit
Also taking part in Wednesday's meeting were the heads of the Trade Union for the Public and Welfare Sectors JHL, the Construction Trade Union, the Transport Workers' Union, the Food Workers' Union (SEL) and the Electrical Workers’ Union.
The euro-denominated minimum increase targets were intended to respond especially to the situation of low-wage, female-dominated sectors.
According to JHL chair Håkan Ekström, in addition to weakened purchasing power due to inflation, the changes in social security especially affect female-dominated industries.
Talks in the tech and chemical industries opened this round of collective bargaining talks. Negotiations between the Industrial Union and the employers of the Technology Industries of Finland started in September, with the current contract set to expire at the end of November. The chemical industry agreement expires at the turn of the year.
Many contracts in the transport and trade sectors expire at the end of January, with stevedores' contracts running out at the end of February. Contracts in the municipal sector expire next April.
EK: "Shockingly high"
The largest employers' group expressed surprise at the SAK's wage targets.
"That requirement is shockingly high, considering the state of the Finnish economy," said Jyri Häkämies, Director General of the Confederation of Finnish Industries (EK).
The main tech industry lobby dismissed the proposals out of hand.
"Those numbers don't exist in the real world. If you look, for example, at the situation and prospects of the technology industry industry announced last week, it does not match it in any way," said Jarkko Ruohoniemi, CEO of the Technology Industry Employers of Finland.
3.52pm: Added employers' reactions.
