Employment Contracts in Finland

1. A contract can be verbal, but a written contract is the safest approach

In Finland an employment contract may be concluded verbally, in writing or electronically. A written contract is nevertheless safer for both parties because terms such as the start date, duties, workplace, working time, pay, holidays, probation, contract duration and applicable collective agreement can later be verified reliably.

If there is no written employment contract, the employer must, subject to statutory exceptions, provide the principal terms of employment in writing. Under the 2026 Työsuojelu guidance, the first group of terms must be provided within seven days of work starting and the remaining information within one month. A verbal agreement does not remove this information duty.

2. Indefinite employment is the default, but an important exception began on 1 June 2026

The general rule is that an employment contract is indefinite. Fixed-term contracts initiated by the employer traditionally require a valid reason such as substitution, a project, seasonal work or a defined task, and repeated fixed-term contracts cannot be used simply to cover what is clearly a permanent labour need.

From 1 June 2026, however, an employer may conclude the first fixed-term employment contract with an employee without a justified reason for up to one year. The possibility can arise again if at least five years have passed since the previous employment with the same employer ended. This special reason-free fixed-term contract can be terminated after the employment has lasted at least six months under the new rule.

The amendment does not make every fixed-term contract reason-free. Outside the special first-contract conditions, the established requirement for a valid employer-initiated fixed-term basis continues to apply. Identifying the legal basis of the fixed term in the contract helps clarify later termination and continuation rights.

3. Probation is not automatic and has limits

A trial period must be agreed; it does not arise automatically unless it is clearly agreed in the contract or properly communicated through an applicable collective-agreement provision. As a rule, probation may last no more than six months and begins when the work starts.

For a fixed-term contract, probation may be no longer than half of the contract duration and in any event no longer than six months. During probation either party may cancel the employment without a notice period, but discriminatory grounds or grounds inappropriate to the purpose of probation are not lawful.

4. Do not read the pay clause as only a monthly number

Finland has no general statutory minimum wage. In many sectors, however, a universally binding collective agreement can set minimum pay, shift supplements, Sunday compensation, overtime or other minimum terms even for employers that are not members of an employers' organisation. A signed contract does not make a term valid if it conflicts with a binding minimum term.

In addition to gross monthly or hourly pay, check payday, pay period, bonuses or commission, meal/phone/car benefits, shift and Sunday supplements and how overtime is treated. Vague wording such as 'included in salary' should be assessed against the limits imposed by law and any applicable collective agreement.

5. Match working-time terms to the real working model

Weekly or period-based hours, shifts, flexible work, remote work and the method for authorising overtime should be understandable from the start. Variable-hours clauses such as '0–40 hours' create different predictability for work and income, and the agreed range should reflect the employer's actual labour need.

It is important that employer working-time records can be reconciled with the employee's own shift and hour records. Leaving regular additional, night or weekend work undefined when it is already known at signing increases the risk of later pay disputes.

6. Final check before signing: read the law, collective agreement and contract together

An employment contract is not a document in which the parties can freely agree on anything. The Employment Contracts Act, Working Hours Act, Annual Holidays Act and an applicable collective agreement can impose employee-protection minimums. A conflicting contractual term may be unenforceable.

Ask about clauses you do not understand before signing, retain a signed copy and document later changes in writing. If a dispute arises, the contract, shift lists, working-time records, payslips and correspondence can all become important evidence.