The Board of Directors of Posti Group Corporation today decided that, in order to avoid massive industrial action threatening the Finnish economy, Posti is prepared to approve the proposals of the dispute resolution task force related to the business transfer concerning employees working in parcel sorting. Accepting the proposal was subject to the following preconditions: the Service Sector Employers (Palta), Posti and the Finnish Post and Logistics Union (PAU) reach an understanding concerning the terms of the collective agreement between PAU and Palta and the sharing of distribution networks, and the business transfer to Posti Palvelut Oy carried out by Posti Ltd is not cancelled.
“In Posti’s view, the task force’s proposal was highly exceptional in that it sought to restrict the company’s right of association. Posti has sought changes to collective terms for parcel sorting, as both web stores and consumers expect continually increasing flexibility from us. However, with sympathy strikes escalating the situation, Posti considers it important and socially responsible that an agreement is achieved. The compromise proposal would not have eliminated Posti’s urgent need for reform in a highly competitive parcel market,” says Posti’s interim CEO Turkka Kuusisto.
According to the proposal, Posti Palvelut Oy, PAU, the Finnish Media Federation and the Industrial Union would have entered into a company-specific collective agreement for the parcel sorters of Posti Palvelut Oy, according to which the employment contracts would follow the PAU collective agreement. As of November 1, 2019, parcel sorting employees have been subject to the Industrial Union’s collective agreement for delivery work. Posti Palvelut Oy, as an employer, is represented by the Finnish Media Federation.
According to Kuusisto, Posti has to improve its competitiveness in order to protect existing jobs and also create new ones.
“Flexibility is required because e-commerce operates around the clock 365 days of the year. The volume of parcels to be sorted varies immensely between peak seasons, weekdays and even different times of the day,” Kuusisto explains.
Posti has already guaranteed that the total wages of Posti’s parcel sorters will remain unchanged for a period of over two years. The Finnish Media Federation and the Industrial Union have agreed on parcel sorters’ terms of employment and have also agreed that wages remain the same until the end of January 2022.