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08.01.2025 15:32

Commerce sector negotiations: PAM demands fair wage increases, protection against dismissal for employees and improments for part-time workers

Today, Service Union United PAM and the Finnish Commerce Federation representing employers have started negotiations on collective bargaining agreements and wages in the commerce sector. PAM’s goal in the negotiations is to ensure that employees in the sector receive fair wage increases and improved working conditions.

nainen seisoo ulkona takki päällä kädet puuskassa.

The collective bargaining negotiations are taking place in a situation where the purchasing power of employees has weakened significantly.

– The purchasing power of employees in the sector has weakened drastically due to rising prices and cuts to social security. Wage increases are necessary to ensure that employees can afford the essentials in their everyday life, says Annika Rönni-Sällinen, President of the Service Union United PAM.

PAM’s goal is a €250 increase in monthly wages. In full-time employment, this means:

  • For the 1st year, a 6% increase or at least €150 (94 cent increase in hourly wages in the industry)
  • For the 2nd year, a 4% increase or at least €100 (63 cent increase in hourly wages in the industry)

Fair protection against dismissal for employees’ security

PAM seeks to ensure that dismissal practices remain fair and predictable for all employees in the future. For this reason, one of the goals in collective agreement negotiations is to safeguard employees’ dismissal protection.

– Employees’ sense of security at the workplace is fundamental for both well-being and the stability of work communities. We aim for provisions in the collective agreement that uphold protections against dismissal and ensures clear guidelines for dismissal situations,” emphasises Rönni-Sällinen.

Part-time work brings challenges – sufficient working hours for everyone must be the goal

There is a lot of involuntary part-time work in the commerce sector, which makes it difficult for employees to manage their everyday lives. In collective agreement negotiations, PAM is demanding solutions that will guarantee better opportunities for part-time workers to work full-time.

– Those part-time workers who are willing to work more must be guaranteed the right to full-time work or at least the highest possible contractual hours. This would improve the livelihood and well-being of many employees, as well as the operational security of companies and employee commitment, Rönni-Sällinen states.    

– Currently, employees live in constant uncertainty and wonder whether they are going to get additional hours. This makes it very challenging to make plans for life and free time. In addition, they often have to have multiple jobs in order to make ends meet. The situation is not in any way sustainable, so we are trying to find solutions to this in our negotiations, Rönni-Sällinen says.

In addition to wage increases, PAM seeks to find solutions that shorten working hours. This would reduce the workload and improve job satisfaction while creating more full-time work in the sector. Rönni-Sällinen says that it is possible to rethink working hours because technology will replace work, even in the service sectors.

– Now is the time for change. Could a reduction in working hours be a competitive edge for service sectors and a solution that offers a way of getting rid of involuntary part-time work, without forgetting the government’s goal of promoting employment?  

The commerce sector employs over 280,000 employees, of whom 160,000 are directly covered by PAM’s collective agreements. The current collective agreements and industrial peace in the sector are valid until 31 January 2025.

You can follow the progress of the negotiations on PAM’s website at pam.fi/collective-bargaining

Keywords:

collective bargaining commerce sector

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