Work Community Development Plan: A Must for Businesses in Finland

Payroll & HR | 29.01.2024

by Azets Finland

Companies with at least 20 employees in Finlandhave to draft a work community development plan acccording to the Finnish Co-operation Act. 

The Act is a central piece of Finnish employment legislation and concerns the legislation of co-operation between the employer and the employees in the private sector. It applies to companies with at least 20 employees in Finland.

Previously, a personnel and training plan had to be drafted according to the Act. Now that plan can be converted to a work community development plan. Below we explain briefly what kind of matters should be considered when drafting the plan.

What is a work community development plan?

The work community development plan describes the current situation and what kind of competence development, for e.g. training, the employees will be provided by the employer. In Finnish the plan is called “Työyhteisön kehittämissuunnitelma”.

The plan must contain following subjects:

  • Current situation and foreseeable future
  • Goals and actions used to develop and maintain employee competence and wellbeing
  • Responsibilities and timetable
  • Follow-up measures
  • Principles for using external workforce

In addition, when drafting the plan an interest must be taken into following matters:

  • Technological development, investments and other meaningful changes in the company that affect the working community.
  • Special needs of different employee groups
  • Employees risk of incapacity for work
  • Working capability of aging employees
  • Labor market competence of employees at risk of unemployment
  • Leadership of the work community

Should you have any questions relating to drafting the plan, other changes to the Co-operation Act or other labour legislation issues, our advisory team is happy to help you.

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