Employer-employee cooperation

A cooperation procedure means cooperation between an employer and employees, where representatives of the parties deal with issues relating to the rights and responsibilities involved in employment relationships. The key piece of legislation governing cooperation procedures is the Act on Cooperation within Undertakings (334/2007). The Act on Cooperation within Undertakings lists matters covered by the cooperation procedure, such as:

• any major changes in duties, working methods or the arrangement of work that affect the position of staff;
• any transfers from one job to another;
• plans regarding staff and training;
• any lay-offs and termination of contracts, due to financial or production-related reasons and business transfers.

The Act on Cooperation within Undertakings applies to businesses employing at least 20 people. Smaller businesses may also carry out cooperation procedures either on the basis of guidance of the relevant collective agreement or as agreed at the workplace.