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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Reform of Family Leave Legislation

New Legislation Enacted

Authors: Emma Mäkeläinen, Associate, and Samuel Kaariainen, Partner – Dottir Attorneys Ltd.

The reform of the family leave legislation entered into force August 1, 2022. The old maternity and paternity leaves were replaced by pregnancy leave and quotas for parental leave. The special maternity leave was also renamed as special pregnancy leave. In addition, a new filial leave was introduced.

According to the new legislation the pregnancy leave is 40 days and the quotas for parental leave are 160 days for both parents and 320 days in total. Of these 160 day quotas, 63 days can be transferred to the other parent. The new filial leave gives the employees a right to a maximum of five calendar days of filial leave during a calendar year.

Implementation of the European Union Whistleblowing Directive

New Legislation Enacted

Authors: Emma Mäkeläinen, Associate, and Samuel Kaariainen, Partner – Dottir Attorneys Ltd.

On September 19, 2022, the Finnish government issued a proposal for the implementation of the so-called Whistleblowing Directive (i.e., the European Union’s Directive on the protection of persons who report breaches of Union law). The proposed act is planned to take effect as soon as possible. Organizations with more than 250 employees in the private sector and 50 or more in the public sector should implement the channel within three months from the date the legislation takes effect, whereas private companies with at least 50 employees should implement the channel by December 17, 2023.

The aim is to encourage people who observe or suspect serious misconduct of public interest within the areas defined in the proposed act, to report their observations. In accordance with the proposal, the whistleblowers should be provided with a safe (and anonymous if so decided by the organization) channel for written and/or verbal reporting as well as protect them against any negative consequences. The implementation of the reporting channel is subject to dialogue with the personnel or their representatives if the organization falls within the scope of the Cooperation Act.

Actions to Raise the Employment Rate of over 55-year-olds

New Legislation Enacted

Authors: Emma Mäkeläinen, Associate, and Samuel Kaariainen, Partner – Dottir Attorneys Ltd.

Parliament accepted the proposed amendments in relation to promoting the employment rate of over 55-year-old employees. The amendments are scheduled to enter into force January 1, 2023. The new redundancy package progressively withdraws the previous right to additional days of unemployment allowance and implements the right to re-employment allowance, training, and longer employment leave for employees over 55 years dismissed due to redundancy, provided that the employment with the same employer has lasted at least five years.

A so-called redundancy contribution is imposed to the employer dismissing at least 55-year-old employees due to redundancy provided that the payroll subject to the unemployment insurance exceeds the lower limit. The contribution is not applicable to the smallest employers. Additionally, the employees over 55 years that have been employed by the same employer for at least three years are entitled to reduced working hours upon request and the employer must endeavor to organize the working hours to part-time. The aim is to support the wellbeing as well as to lengthen the careers of employees.

Proposed Amendments to the Nondiscrimination Act

Proposed Bill or Initiative

Authors: Emma Mäkeläinen, Associate, and Samuel Kaariainen, Partner – Dottir Attorneys Ltd.

On September 19, 2022, the Finnish government proposed amendments to the Nondiscrimination Act relating to the employer’s duty to promote equality, and the competence of the nondiscrimination ombudsman to evaluate and oversee the realization of equality in the workplace. The amendments are scheduled to enter into force June 1, 2023.

In accordance with the proposal, the employer must take into consideration the different potential reasons for discrimination when assessing the realization of equality in the workplace. This assessment should also be conducted during recruitment processes. Additionally, the conclusions of the assessment should be included in the written equality plan. The aim is to clarify the responsibilities of the employer. In addition to the employer’s responsibilities, the competence of the nondiscrimination ombudsman would be extended, without prejudice to the provisions on confidentiality, to obtain information on equality matters from the employer, as well as to carry out on-the-spot checks at the workplace. This proposal would increase the competence of the nondiscrimination ombudsman on the equality matters within working life.