Finland provides many opportunities for companies looking to expand. Creating a new business in Finland requires an in-country bank account, deposit of capital and a registration fee. There are many business types including partnerships and proprietors, as well as labor and payroll considerations before beginning operations.
Labor and Payroll in Finland:
- There is no National minimum wage. Wages are negotiated with collective bargaining agreements at the industry level
- Employment contracts are not required to be in writing
- Tax and social security contributions are withheld from employee pay
- When an employee leaves a job the local office (register) must be notified
- Foreign workers who are not nationals from Norway, Switzerland, Iceland, Liechtenstein, or an EU country require a residence permit designed for employment
Sick leave in Finland:
In accordance with the labor laws of Finland, Employees are legally entitled to a total of 9 days of paid sick leave during each working year. If the employment relationship has lasted for at least one month, the employee will be paid full wages for the said period. If the employment relationship has lasted for a period shorter than one month, half of the wages will be paid for the same period.
Getting started in Finland can be complicated, but we can help simplify your operations. Our cloud-based technology with aggregated monthly reporting gives you real-time access to your payroll across all countries and currencies. We have a unique, hybrid service model with a US-based team and direct access to in-country experts to help when questions come up. If you’re just getting started or would like to simplify operations in Finland, talk to us. Click here to learn more