What are the legal requirements and limitations for an employer to use fixed term contracts to hire employees in Finland?

Question from Options, What are the legal requirements and limitations for an employer to use fixed term contracts to hire employees in Finland?

Answer from AI:

In Finland, the use of fixed-term employment contracts is regulated by the Employment Contracts Act (55/2001). This law sets out the conditions under which an employer can use fixed-term contracts and the rights and obligations of both parties.

Legal Requirements for Fixed-Term Contracts

According to the Employment Contracts Act, an employer can use a fixed-term contract in the following situations:

• When there is a justified reason for the fixed term, such as a temporary increase in workload or a project-based job.
• For substitute work, i.e., to replace an employee who is temporarily absent.
• For a trial period, which can last up to six months.

The contract must specify the duration of the fixed term or the grounds for determining it. If the contract does not meet these requirements, it may be considered an indefinite-term contract.

Limitations on the Use of Fixed-Term Contracts

The Employment Contracts Act also imposes certain limitations on the use of fixed-term contracts:

• Fixed-term contracts cannot be used to avoid the employer’s obligations under an indefinite-term contract. This means that an employer cannot use a series of fixed-term contracts to avoid giving an employee the rights and benefits of a permanent employee.
• Fixed-term contracts cannot be used to replace employees who are on strike or locked out.
• The total duration of consecutive fixed-term contracts cannot exceed two years, unless there is a justified reason for a longer period.

When to Seek Legal Advice

If you are an employer considering using fixed-term contracts, or an employee offered a fixed-term contract, it may be advisable to seek legal advice. A legal professional can help you understand the requirements and limitations of the Employment Contracts Act and ensure that the contract is legally sound.

For more detailed information, you can refer to the English translation of the Employment Contracts Act on the Finlex website, which is a database of Finnish legislation and legal information.

Please note that this information is intended as a general guide and does not constitute legal advice. Always consult with a legal professional for personalized advice.