The Government: Agreement on Competitiveness Pact a positive step forward

The Government deems it positive for Finland that the labour market organisations have reached agreement in their negotiations on solutions for improving Finland's competitiveness in labour and output and capacity to create jobs.

Provided that it materialises, the pact potentially allows the replacement of the set of statutes that the Government drafted earlier. The Ministry of Finance will draw up detailed estimates of the impact of today's agreement on unit labour costs, public finances and employment.  

The Government will examine the pact against the objectives set in the Government Programme and will evaluate, bearing in mind the current situation in public finances, whether more savings are necessary and income tax concessions are viable.

The Government has informed the labour market organisations of its Government Programme objectives relating to the competitiveness pact, wage moderation and company-level agreement. The Government wishes to hold more specific discussions on the details of the pact and will be convening with the labour market organisations tomorrow, Tuesday 1 March.  The Government will hold negotiations on company-level agreement with the Federation of Finnish Enterprises separately.