Have change negotiations begun at your workplace?

Topics

• Labour law
• Legal assistance

Change negotiations initiated at the workplace do not always mean terminations, but the negotiations may also result in a reduction in the number of employees for production-related or financial reasons. In such cases, the employee who is being terminated has rights that they should be aware of.

1. The possibility of relocation and retraining must be investigated
   
   Before terminating an employment relationship, the employer must investigate whether the employee could be transferred to other duties or retrained for new duties. This obligation remains in force throughout the notice period.
2. Terminations must be targeted at tasks that are being reduced
   
   If the change negotiations result in a reduction in the number of employees, decisions on who will be affected will be made after the change negotiations. Reductions must target tasks that are being reduced, but the employer has relatively free choice in selecting the employees to be dismissed. Collective agreements may contain provisions on the order of reduction, which must be taken into account. Termination may never be based on discriminatory grounds, such as illness.
3. The notice period must be observed
   The notice period is determined by law, the employment contract, or the collective agreement for the sector. According to the law, when an employer terminates an employment relationship, the notice period is determined based on the length of the employment relationship as follows:
   
   Under 1 year = 14 days
   1–4 years = 1 month
   4–8 years = 2 months
   8–12 years = 4 months
   over 12 years = 6 months
   
   Read more about notice periods
4. During the notice period, the employment relationship remains in force
   
   During the notice period, work continues as normal. However, sometimes an employer may wish to release a dismissed employee from their duties during the notice period. If this is the case, you should ask your employer for written confirmation. Even if you stop working, the employment relationship remains in force and you are entitled to pay and accrued vacation during the entire notice period.
5. Employees are entitled to paid leave for finding employment
   
   During the notice period, employees are entitled to paid leave for seeking employment, which is intended to be used for independent job seeking or utilizing the services of employment authorities. The leave for seeking employment is 5–20 days in length, depending on the duration of the employment relationship.
6. You may be entitled to employment promotion coaching
   
   If you have been dismissed for operational or financial reasons, you are entitled to employment promotion coaching or training if you have been employed for more than five years and your employer has at least 30 employees. The coaching is worth at least one month’s salary. The coaching must be provided within two months of the end of the notice period.
7. Occupational health care continues for 6 months after the end of the work obligation
   
   Employees who are dismissed for production-related or financial reasons are entitled to continue using the organization’s occupational health services for six months after the end of their employment obligation if they have been employed for at least five years and the employer has at least 30 employees.
8. People over 55 have extended transition security
   
   If you are 55 years of age or older at the time of termination and have been employed for at least 5 years, you are entitled to extended transition security.
   
   Read more about transition security here
9.  You are not bound by a non-compete agreement
   
   When an employment relationship ends due to financial or production-related reasons, any non-compete agreement included in the employment contract is not binding on the employee after the employment relationship ends. 
10. The employer has a reemployment obligation
    
    The employer must offer employment to an employee dismissed on financial and production grounds if the employer needs an employee for the same or a similar job from which the employee has been dismissed. In order for an employee to be covered by the obligation, the employee must have registered as a job seeker in the employment authority service. There is no need to be an unemployed job seeker. The readmission obligation lasts 4 or 6 months, depending on the length of the employment relationship.
11. Remember to discuss your holidays and employment benefits and check your final salary
    
    Unused holidays can be taken during the notice period or the employer must pay them as holiday compensation when the employment relationship ends. It is advisable to discuss this together.
    
    All employment benefits, such as recreational and lunch benefits, must also be available during the notice period. However, the employer decides how to handle accumulated benefits, such as recreational benefits, when the employment relationship ends.
    
    The salary payment period ends when the employment relationship ends. The employer must therefore pay the final salary, i.e. the final settlement, which typically also includes holiday compensation. Check that your final salary includes all amounts owed to you, including any expense allowances.
    
    Read more about final pay
    
    

More on this topic:

Change negotiations and the threat of redundancy – what to do?

Guide to working life: Change negotiations