JHL (22.09.2014 – Heikki Jokinen) The Finnish health care company Med Group is pressuring its employees to take individual pay cuts without mandatory consultation with personnel representatives, warns the Trade Union for the Public and Welfare Sectors JHL.

The Union is adamant that the employer has no legal grounds for cutting salaries. The Act of Co-operation stipulates that in all undertakings with more than 20 employees matters affecting personnel must be dealt with by co-operation negotiations with employee representatives before the employer makes decisions in such cases.

The Med Group is trying to by-pass the stipulated process by approaching employees directly and offering them an individual contact, pushing them to accept a proposed cut in salary. In this situation, neither work colleagues nor their own trade union can offer support, says JHL.

The company says the cuts are needed as the City of Helsinki is now paying less for the health services bought from the Med Group. This cannot be the reason for salary cuts, say JHL.

The employer must have a legitimate reason for unilaterally changing work contracts. It also has to verify the reasons why it wants to change work contracts.

”We hope that no one will accept the salary cut before the co-operation negotiations. It's not for the benefit of employees”, says JHL Bargaining Officer Veikko Lehtonen.

Med Group is a private health care company providing services for both municipalities and individuals.

”The biggest single owner of Med Group is Terveysrahasto Oy (38 per cent), a Finnish fund specialising in financing health care. It consists of a group of socially -minded foundations and funds, four insurance companies, and the Finnish Innovation Fund SITRA”, according to Med Group’s home page.