COOPERATION WITHIN UNDERTAKINGS

SCOPE OF APPLICATION Companies employing regularly at least 20 people Applied only partly in companies employing under 30 people Co-operating parties: the employer and the personnel The personnel can be represented by the shop steward or another representative The purpose is to collectively develop operations of the undertaking and to strenghten co-operation between the employer and the employees

EMPLOYER’S DUTY TO GIVE INFORMATION ON… Undertaking’s financial situation Financial statements Comprehensive report on the company’s financial situation Comprehensive report on changes in the company’s financial situation Salaries paid On request of the personnel groups The number of employees The number of subcontracted labour Merger and aquisition of the company

NEGOTIATIONS (1) Issues concerning the company policy Recruitment principles Personnel yearly training plan Principles of the company’s information policy Principles of the use of temporary agency Company’s plan on equality between men and women Action plan on alcohol and drugs The purpose, implementation and methods used in camera surveillance, access control etc. Technical employee monitoring Negotiations initiated by the employer Must provide employees’ representatives with relevant information Employer makes the decision after the negotiations

NEGOTIATIONS (2) Issues to be agreed on f. ex. the amount, content and allocation of the co-operation training annually to each personnel group within the limits of the funds earmarked by the employe Working rules complied by the company Rules for suggestion schemes Principles to be followed in the allocation of company accommodation Company’s contributions for recreational and holiday activities of the personnel Negotiations on the initiative of either party If no agreement, decision making power with one of the parties, depending on the issue Agreement in writing Period of notice 6 mths Employer must inform on the contents of the agreement

NEGOTIATIONS (3) Changes in business operations affecting the personnel and arrangement of work Closure of the company or part of it Transfer of the company or part of it to another place Yritystoiminnan laajentaminen tai supistaminen tai muu muuttaminen Acquisitions of machinery and equipment Changes in the production of services or product range Other similar changes in the business operations Arrangement of work Use of external labour Co-operation negotiations on the initiative of the employer before making the decision Duty to provide information to the employees

NEGOTIATIONS (4) Reducing the use of personnel Termination, lay –off or reducing an employment contract to a part time contract for economic and production related reasons Co-operation negotiations on the initiative of the employer before decision making Written proposal for commencement of the co-operation negotiations to the representatives of the personnel groups and to the manpower office If over 10 employees are concerned, detailed proposal and action plan Minimum negotiation time 2/6 weeks, unless agreement made General report of the negotiations must be presented to the representatives of the personnel

SANCTIONS FOR VIOLATING THE ACT Employer reducing the number of employees without following the co-operation procedure Maximum indemnification amount of 30 000 € / employee Employer neglecting the duty to provide information By court order obliged to provide, a fine Employer failing to fulfil obligations intentionally or by neglect Fines Breach of confidentiality by either party