The Orpo Government’s labour market reforms

The Government will develop the Finnish labour market to make it more flexible. The aim is to support employment, economic growth, competitiveness and productivity. The reforms will be prepared on a tripartite basis, drawing on the expertise of businesses and employee organisations.

Improving industrial peace: entry into force on 18.5.2024. Increase local collective bargaining: entry into force on 1.1.2025. Development of the conciliation system: entry into force on 1.1.2025. Dismatling barriers to employment: Proposals in spring session 2025.

This website contains information on the Government’s labour market reforms and their progress.

Ongoing legislative projects

This table summarises the Government’s labour market reforms, which are currently under preparation.

Legislative project Preparation phase
Improving industrial peace in the labour market The reform entered into force on 18.5.2024.
Increasing local collective bargaining The reform entered into force on 1.1.2025.
Amendments to the Act on Co-operation within Undertakings The reform will be prepared in two phases. The amendments on raising the application threshold and shortening the duration of change negotiations will enter into force on 1 July 2025. The Government decided in its mid-term policy review sessionLink to an external website to lower the threshold for board-level employee representation. A tripartite working group has been appointed to prepare the change.
Developing the conciliation system The reform entered into force on 1.1.2025
Repeal of the Work in Bakeries Act The amendment entered into force on 1.3.2025.
Ensuring essential work in a labour dispute The Government submitted to Parliament its proposal on 13 March 2025.
Amendments to regulation on grounds for termination related to employee's person Legislative amendments were being circulated for comments on 24.2.−7.4.2025. Preparatory work continues.
Changes to grounds for fixed-term employment contracts, period of notice for layoffs and reemployment obligation The Ministry of Economic Affairs and Employment is organising a consultation round from 2 June to 28 July 2025.
Changes to the timing of carried-over holiday entitlement  The term of the tripartite working group is 20 May−30 November 2025.
Changes to the legislation on privacy protection in working life The term of the tripartite working group is 20 May–12 September 2025.