Timber Industry Association withdraws from collective bargaining system

The Forest Industry Association is withdrawing from the collective bargaining system, and in the future, negotiations on working conditions will be held at workplaces between company management and staff.

In the future, forestry companies, for example, will be able to negotiate wages and work shifts with staff.

According to the Forest Industry Association, the goal of this decision is not to reduce wages, but to increase the competitiveness of forestry enterprises.

The current collective agreements will be valid for another 1-2 years.

There are over 150 wood processing factories in Finland.

Union: Pending Decision

The Paper Industry Union has stated that it will continue to advocate for the interests of its members in negotiations with the employer.

According to the chairman of the trade union Petri Vanhal , the decision of the Association was expected.

Forest industry employers have long criticized the existing collective bargaining system for being inflexible and expensive.

Forest workers went on a lengthy strike earlier this year, which employers believe caused significant damage to the industry.

At the end of August, forestry giant UPM announced the closure of the Kaipola plant in Jämsä. About 500 people are at risk of being unemployed. According to the company, the plant had to be closed due to the fact that production is unprofitable.

Prime Minister Sanna Marin (SDP) has repeatedly criticized the forest industry for lack of social responsibility. Today she expressed her disappointment with the Timber Industry Association’s decision.