Finnish labor law provides employees with various statutory leave entitlements, ensuring time off for rest, illness, and significant life events. Understanding these provisions is crucial for employers operating in Finland to ensure compliance and support their workforce effectively. These entitlements cover everything from annual holidays accrued based on service length to specific provisions for sick leave, parental responsibilities, and other personal circumstances.
Navigating the specifics of leave accrual, timing, pay, and eligibility requires careful attention to the Finnish Working Hours Act, Annual Holidays Act, and other relevant legislation, as well as applicable collective agreements.
Annual Vacation Leave
Employees in Finland are entitled to annual holiday leave based on their length of service with the employer. The holiday year runs from April 1st to March 31st. Holiday entitlement is earned during this period, known as the accrual year.
The amount of holiday accrued depends on how long the employment relationship has lasted by the end of the accrual year (March 31st).
- For employment lasting less than one year by March 31st: Employees accrue 2 working days of holiday for each full calendar month of employment.
- For employment lasting at least one year by March 31st: Employees accrue 2.5 working days of holiday for each full calendar month of employment.
A "working day" for holiday purposes includes weekdays from Monday to Saturday, excluding public holidays. The main holiday period, during which employees are typically expected to take their summer holidays, is between May 2nd and September 30th. Employees are generally entitled to take 24 working days of their annual holiday during this summer period. Any remaining accrued holiday must typically be taken during the winter season (October 1st to April 30th).
Holiday pay is calculated based on the employee's regular wages. Employees are also entitled to a holiday bonus, often equivalent to 50% of their holiday pay, though this is often based on collective agreements rather than statutory law.
| Length of Service by March 31st | Annual Holiday Accrual Rate (per full calendar month) |
|---|---|
| Less than 1 year | 2 working days |
| At least 1 year | 2.5 working days |
Public Holidays and Observances
Finland observes several public holidays throughout the year. Employees are generally entitled to time off on these days. If a public holiday falls on a weekday that would normally be a working day, employees are typically paid their regular wage for that day. If an employee is required to work on a public holiday, they are usually entitled to increased pay, often double their regular rate, as stipulated by law and collective agreements.
The specific dates for some public holidays vary each year (e.g., Easter, Ascension Day, Midsummer). Key public holidays observed in Finland include:
| Holiday | Typical Date (Exact date varies for some) |
|---|---|
| New Year's Day | January 1 |
| Epiphany | January 6 |
| Good Friday | Varies (March/April) |
| Easter Sunday | Varies (March/April) |
| Easter Monday | Varies (March/April) |
| May Day (Vappu) | May 1 |
| Ascension Day | Varies (May/June) |
| Midsummer's Eve | Friday before Midsummer Day |
| Midsummer Day | Saturday between June 20-26 |
| All Saints' Day | Saturday between Oct 31 - Nov 6 |
| Independence Day | December 6 |
| Christmas Eve | December 24 |
| Christmas Day | December 25 |
| St. Stephen's Day | December 26 |
Sick Leave Policies and Pay
Employees in Finland have the right to take leave due to illness or injury that prevents them from working. The employer's obligation to pay sick leave compensation depends on the duration of the employment and the length of the absence.
Generally, there is a waiting period (omavastuuaika) for sick pay, which is typically the first day of absence. However, if the incapacity for work is due to an occupational accident or disease, there is no waiting period.
After the waiting period, the employer is usually obligated to pay the employee full wages for a certain period. For employees whose employment has lasted for at least one month, the employer must pay full wages for the first 10 working days of absence due to illness. If the employment has lasted for less than one month, the employer's obligation is to pay 50% of the wage for the same period.
After the employer's obligation to pay full or partial wages ends (typically after 10 working days), the employee can apply for sickness allowance from Kela (the Social Insurance Institution of Finland). Kela's sickness allowance replaces lost earnings and is typically paid after the employer's sick pay period ends. The employee usually needs to provide a medical certificate from a doctor to justify the absence, especially for longer periods.
| Absence Duration | Employer Pay Obligation (Employment > 1 month) | Employer Pay Obligation (Employment < 1 month) |
|---|---|---|
| First day (Waiting Period) | Generally unpaid | Generally unpaid |
| Days 2-10 (Working Days) | Full wage | 50% wage |
| After 10 working days (and waiting period) | None (Employee applies for Kela allowance) | None (Employee applies for Kela allowance) |
Parental Leave Entitlements
Finland has a comprehensive system of parental leave designed to allow parents to care for their children. The system includes several allowances paid by Kela. The key periods of leave and associated allowances are:
- Pregnancy Allowance: This period starts typically 40 working days before the estimated due date and lasts for 40 working days. It is intended for the pregnant parent.
- Parental Allowance: After the pregnancy allowance period (or from the child's birth if no pregnancy allowance was taken), parents are entitled to a shared parental allowance period. For a single birth, the total allowance period is approximately 320 working days (weekdays Mon-Sat). For multiple births, the period is longer.
- Sharing Parental Allowance: The 320 working days of parental allowance can be shared between the parents. Each parent has a non-transferable quota of 160 working days. Parents can transfer up to 63 days from their own quota to the other parent. This allows for flexibility in how parents divide the leave.
- Taking Parental Leave: Parental allowance days can be taken flexibly until the child turns two years old. They can be taken in full-time periods, part-time (reducing working hours and receiving partial allowance), or in multiple shorter periods.
- Paternity/Maternity: The previous separate maternity and paternity leave system was reformed into the current gender-neutral parental allowance model, emphasizing shared responsibility.
During periods of pregnancy and parental leave, employees are protected against dismissal. While Kela pays the allowances, some collective agreements may stipulate that the employer pays full wages for a portion of the parental leave period, with the employer then claiming the Kela allowance.
Other Types of Leave
Finnish law and collective agreements recognize various other situations where an employee may be entitled to temporary leave from work. These can include:
- Leave for Compelling Family Reasons: Short-term absence may be permitted for unforeseen, compelling family reasons requiring the employee's immediate presence due to illness or accident.
- Temporary Lay-off: In certain economic circumstances, an employer may temporarily lay off employees, suspending the work obligation and wage payment while the employment relationship remains valid.
- Study Leave: Employees may be entitled to study leave to participate in education or training, subject to certain conditions regarding length of service and the nature of the studies. The duration and pay (if any) during study leave are often regulated by collective agreements or employer policy.
- Bereavement Leave: While not explicitly mandated by statutory law, many collective agreements and employer policies grant employees a short period of paid or unpaid leave following the death of a close family member.
- Sabbatical Leave: Some collective agreements or employer policies may allow for longer periods of unpaid leave for personal development or other reasons, often referred to as sabbatical leave.
The specifics of these other leave types, including eligibility, duration, and whether the leave is paid or unpaid, often depend heavily on the applicable collective labor agreement or the individual employment contract and company policy, exceeding the minimum requirements of statutory law.
