Finland

• New Year's Day
• Epiphany
• Good Friday
• Easter Monday
• May Day
• Ascension Day
• Midsummer Eve
• Midsummer Day
• All Saints Day
• Independence Day
• Christmas Day
• Second Day of Christmas

Working Hours

Employees can work up to 8 hours a day, or a maximum of 40 hours per week.

Minimum Wage

There is no statutory minimum wage in Finland, though collective bargaining agreements establish minimum wages for specific workers.

For the purposes of a residence permit for an employed person, there is an applicable minimum wage limit. Effective 1^st January 2025, the minimum wage for a residence permit for an employed person is EUR 1,600 per month.

Employee Tax

Annual income	Tax rate
Up to EUR 19,200	0%
EUR 19,201 - 28,700	6%
EUR 28,700 - 47,300	17.25%
EUR 47,300 - 82,900	21.25%
More than EUR 82,900	31.25%
Health insurance contribution	Daily allowance contribution: 0.84% if income is at least €16,862 p.a. 0% if income is below €16,862 p.a. Medical care contribution: 1.06 % .
Pension contribution	7.15% of earnings for those aged 17-52. 8.65% of earnings for those aged 53-62. 7.15% for those over the age of 63.
Unemployment insurance contribution	0.59%

Bonuses

There are no statutory bonus schemes in Finland, but holiday bonuses are contracted in many collective bargaining agreements. This is usually equal to 50% of the employee’s gross salary, and is paid on return to work from their annual vacation.

Employment contracts in Finland can be written, oral, or electronic, though written contracts are customary.

Employees should always be provided with a written statement that includes:

• Start date
• Probation period
• Job title and responsibilities
• Workplace
• Working hours
• Salary and leave entitlement
• Notice period
• Contract length (if applicable)
• Collective agreement information (if applicable)

Fixed-term contracts are permitted in Finland up to one year, provided there is justification for their use.

Annual Leave

Employees accrue vacation days based on the length of their service:

• employees who have worked for less than 1 year: 2 days per month.
• employees who have worked for 1 year or more: 2.5 days per month.

Sick Leave

Up to ten days' paid sick leave after one month of service.

Parental Leave

• Maternity leave: at least 105 days' fully paid leave.
• Paternity leave: 54 days' leave.
• Parental leave: 158 days' leave, which can be split between the parents at their discretion.

Termination Process

Employers in Finland can only terminate employment contracts with proper and serious reasons. This includes:

• Serious breach or neglect of duties
• Financial or organisational issues leading to redundancy

A warning is often required before an employee can be dismissed on performance-based grounds.

In cases of redundancy, employers must try to find alternative work for employees before they can be terminated.

Termination based on mutual consent is also permitted.

Severance Pay

There is no statutory severance pay requirement in Finland.

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