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02.04.2025 15:00

New collective agreement for the property services sector: front-loaded pay rise of 7.8% and equal solution to long-standing public holiday issue

Service Union United PAM has approved the negotiation result reached with the Real Estate Employers as the new collective agreement for the property services sector. The wage increases will improve employees’ purchasing power, and the long-standing issue with public holidays will be resolved. 

—We have long sought to solve the problems related to midweek public holidays in a way that is fair for all employees in the sector. Under the new collective agreement, an annual leave system is introduced during the agreement period, which will guarantee the same rules for paid time off for all employees. This will put an end to the manipulation of working hours onpublic holiday weeks, says Annika Rönni-Sällinen, president of PAM. 

The annual leave system, which will be introduced at the beginning of 2027, ensures that paid leave is accrued fairly based on the number of hours worked. Employees who work on midweek public holidays will continue to be paid 100% extra for those days. 

Work done on the Saturdays of New Year’s week, Epiphany week, May Day week, Ascension Day week, Independence Day week, and on Easter Saturday will continue to be paid at a 50% premium. 

Front-loaded wage increases 

Wages will rise by a total of 7.8% over the agreement period. The increases are front-loaded, meaning that the first two years of the contract will see higher increases than the third year: 

  • 1 August 2025 personal wages and pay-scale wages will increase by 2.7% 
  • 1 August 2026, personal wages and pay-scale wages will increase by 2.7% 
  • 1 July 2027, personal wages and pay-scale wages will increase by 2.4% 

—It was really important to secure wage increases that follow the general level that has been formed in the labour market, as these are not granted automatically. The pay rises are very much needed, says PAM’s Collective Bargaining Specialist Kaarina Ahonen. 

In the negotiations, the parties also recognised the need to further develop the sector’s pay system to better reflect changing job roles and growing skill requirements. The unions have committed to working together during the agreement period to improve, among other things, the incentives within the pay system and the attractiveness of the sector. 

Stronger support for PAM members in dismissal situations 

Until now, the property services sector collective agreement has not included a provision regarding the rights of employees and obligations of employers in hearings where the employment is being terminated on grounds related to the employee. 

With the new agreement, PAM members will have more protection and support. 

—Employees will now have a guaranteed right under the collective agreement to receive support from their elected union representative (luottamusmies) or a trade union official during a hearing. Employees must also be given a reasonable amount of time to prepare, Ahonen explains. 

Continued improvement of working conditions 

Once again, negotiations in the property services sector were not easy, even though the atmosphere at the negotiation table remained positive throughout. Messages and support from employees in the workplaces were clearly felt at the negotiating table. 

—I want to thank all the members and shop stewards who have kept the negotiations visible in workplaces and even on social media. Many have also encouraged their colleagues to join the union. The development of working conditions in the sector doesn’t stop for the next three years—on the contrary, we’ll continue working actively in working groups and other forums to improve terms and conditions, Ahonen concludes. 

The new collective agreement for the property services sector has been concluded for a period of three years, from 1 April 2025 to 31 March 2028. However, either party may terminate the agreement early to end on 31 March 2027. 

Keywords:

collective bargaining property services sector

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