Monday, 14 November 2011

Municipal consolidations from employer’s side

The consolidation of municipalities in Finland is starting to be everyday news. From big to small, every municipality seems to find a reason to join with neighboring municipalities. Mostly the reason is because savings are seen in merging the municipal administrations, but what will happen to the municipality administrative worker (in Finnish, toimihenkilö) during those consolidations?

At 2005, the government of Finland launched the Best Project (Paras-projekti). The aim of the project was to reform the municipal service structure. Consolidations of municipalities were recognized part of this program. The personnel of municipalities agreed on this project and supported it, which granted them the five year protection against dismissal in the case of any consolidation of municipalities.

The Best Project will end in 2012, but obviously consolidations of municipalities will still happen after that. The trade union of municipal workers has argued that it would be even to have the same five year protection against dismissal also in the consolidations happening after the 2012.

As in any occupation, it is crucial that the job security is maintained. Municipal employment issues are negotiated together with employees and employers' organization, and it is essential that the employees (in Finnish: palkansaaja) remain in spite of the so-called new arrangements.

The other subject of negotiations in the moment of consolidation of municipalities is the salary. When two or more municipalities are combined, the salary differences of similar positions in different municipalities might be considerable. In these cases, the combined municipalities must agree on the harmonization of wages, and the harmonization cannot take a very long time. The same applies to differences in personal knowledge-based bonus systems: they should be co-ordinated.

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