Browse through brief employment and labor law updates from around the globe. Contact a Littler attorney for more information or view our global locations.

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Administrative Court Rules that Couriers are Not Employees

Precedential Decision by Judiciary or Regulatory Agency

Authors: Samuel Kääriäinen, Partner and Head of Employment, and Noora Ollitervo, Associate – Dottir Attorneys Ltd

The Regional State Administrative Court for Southern Finland ruled that couriers did not meet the criteria for employees under the Employment Contracts Act. In particular, the court found, the company did not have the right to direct and supervise their work. Accordingly, the Working Time Act did not apply to the couriers' work and the company was not required to keep records of their working hours.

This decision sets a precedent regarding the classification of gig economy workers and their legal status in the employment context.

Supreme Court Considers the Timeframe for Equalizing Salaries After Business Transfer

Precedential Decision by Judiciary or Regulatory Agency

Authors: Samuel Kääriäinen, Partner and Head of Employment, and Noora Ollitervo, Associate – Dottir Attorneys Ltd

In KKO 2024:9, the Supreme Court considered whether a hospital district violated the equal treatment requirement of Chapter 2 Section 2(1) of the Employment Contracts Act when it paid different salaries to paramedics doing the same work between January 1, 2014, and August 16, 2019. The salary differential stemmed from a business transfer on January 1, 2014. The district began measures to eliminate the salary differentials between 2016 and 2019, aiming to equalize salaries by January 1, 2019. The Supreme Court concluded that this was an acceptable timeframe for standardizing the paramedics salaries and that the hospital district had not violated the equal treatment requirements of the Employment Contracts Act.

Supreme Administrative Court Protects Worker Rights in Residence Permit Revocation Case

Precedential Decision by Judiciary or Regulatory Agency

Authors: Samuel Kääriäinen, Partner and Head of Employment, and Noora Ollitervo, Associate – Dottir Attorneys Ltd

In KHO: 2024:35 the Supreme Administrative Court overturned the decisions of the Finnish Immigration Service and the Administrative Court revoking a worker's residence permit. Emphasizing that revocation should consider the employer's conduct, the court held that the permit holder's claims of employer negligence or exploitation warranted further investigation before revocation.

SAK-Led Strikes Opposing Proposed Labor Reforms Impact Finland's Economy

Trend

Authors: Samuel Kääriäinen, Partner and Head of Employment, and Noora Ollitervo, Associate – Dottir Attorneys Ltd

Strikes led by The Central Organization of Finnish Trade Unions (SAK) opposing the government's labor law reforms and social security cuts, including reductions in unemployment benefits and housing allowances, continued through the end of March due to unresolved negotiations, and are disrupting Finland's exports, especially goods transported through ports and railways. Simultaneously, the government’s proposal to amend the law to facilitate local collective bargaining for all companies, not just union shops, has advanced to the consultation phase. These changes are planned to take effect on January 1, 2025.