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9.11.2011
Federation of Finnish Technology Industries’ collective agreement settlement for the IT sector
The Federation of Finnish Technology Industries, the Federation of Professional and Managerial Staff (YTN) and the Association of IT Sector Employees have accepted the second settlement proposal of National Conciliator Esa Longa, which he made today. Today’s settlement proposal contains an entry on industrial peace that the Federation of Finnish Technology Industries considers important. According to the entry, YTN will not use the IT sector to pressurize other sectors into collective agreement settlements. The acceptance of the proposal means that the IT sector strike which began on 7 November will end and the planned expansions of the strike will be called off.
In an attempt to solve the industrial dispute, the National Conciliator made an earlier pay-settlement proposal on Sunday. However, the proposal did not contain the entry on industrial peace considered important by the Federation of Finnish Technology Industries. “The entry in the accepted proposal now matches the clauses on industrial peace that the Federation of Finnish Technology Industries and YTN have in their collective agreements for other sectors. Its importance is further underlined by the fact that the IT service sector is in practice connected to every other sector,” said Risto Alanko, Executive Vice President of the Federation of Finnish Technology Industries
According to the settlement proposal, pay-settlements are to be negotiated primarily at the company level. “The significance of company-specific agreements is emphasised by the considerable differences in companies’ financial situation and outlook,” said Jarkko Ruohoniemi, Federation of Finnish Technology Industries Group Manager.
The collective agreement also contains a fall-back procedure in which pay revisions are made on the basis of a general pay-rise based on the framework agreement and a locally negotiated company-specific component. Mr Ruohoniemi considers it important that the company-specific component is targeted so as to create incentives on the basis of labour-productivity, competence and performance. “Depending on job description, the deployment of the company-specific component may need to be handled according to a different procedure inside a company. If no agreement is reached on the implementation of the company-specific component, the parties involved can seek the opinions and suggestions of their labour-market organisations on the implementation of the company-specific component,” said Mr Ruohoniemi. If the parties fail to reach agreement after this stage, the company-specific component is to be paid as a general pay-rise.
For the first year, the fall-back pay settlement, which is based on the framework agreement between the central labour-market organisations, entails a 1.6 percent general pay-rise and a 0.8 percent company-specific component. For the second year, starting 1 November 2012, the fall-back option provides for a 1.3 percent general pay-rise and a 0.6 percent company-specific component.
The Federation of Finnish Technology Industries negotiated the collective agreement for the IT sector with YTN and the Association of IT Sector Employees, as a result of last August’s organisational changes in the labour unions.
Additional information:
Jarkko Ruohoniemi, Group Manager, tel. 09 1923 322
Risto Alanko, Senior Vice President, tel. 040 502 6411
