Observation (CEACR) - adopted 2016, published 106th ILC session (2017)

Equal Remuneration Convention, 1951 (No. 100) - Finland (Ratification: 1963)

The Committee notes the observations by the Central Organisation of Finnish Trade Unions (SAK), the Confederation of Unions for Professionals and Managerial Staff in Finland (AKAVA), the Finnish Confederation of Professionals (STTK), and the Confederation of Finnish Industries (EK) attached to the Government’s report.

Articles 1 and 2 of the Convention. Gender pay gap. The Committee recalls the objective of the tripartite Equal Pay Programme (2006–15) which was to reduce the pay gap to 15 per cent by 2015. The Committee notes from the Government’s report that the difference in pay between men and women decreased to 17 per cent in 2011 and has remained stagnant between 2012 and 2015. According to the overall assessment of the Equal Pay Programme the stagnation in the gender pay gap is due to a period of economic difficulty in Finland and smaller wage increases compared to previous years. The Committee notes that, according to EK and AKAVA, labour market segregation remains the main reason for the gender pay gap. In this connection the Committee notes that from 2004–14, the change in the proportion of workers in “even occupations”, meaning occupations with 40–59 per cent male or female wage earners, has been almost non-existent. In 2012, the proportion of wage earners in “even occupations” was 13 per cent of all wage earners. According to EK, addressing occupational segregation is the only sustainable measure to tackle the difference in average earnings. The Committee recalls that the Government’s Gender Equality Programme (2012–15) aims to reduce gender segregation in education, career choices and the labour market and that several initiatives have been taken in furtherance of this aim. In this connection the Committee refers to its comments under the Discrimination (Employment and Occupation) Convention, 1958 (No. 111). Noting the Government’s intention to implement the Equal Pay Programme until 2025, the Committee requests the Government to continue providing information on the evolution of the gender pay gap and any measures aimed at its reduction, especially how the issue of occupational gender segregation is being addressed. The Committee also asks the Government to provide summaries of any reviews of the Equal Pay Programme.

Equality plans and equal pay surveys. The Committee notes from the Government’s report that according to a survey undertaken by the central labour market organisations in 2012, the coverage of equality planning has increased. Yet, the Government indicates that coverage and quality of equality plans and pay surveys need improvement. The Government indicates that the Act on the Amendment to the Act on Equality between Women and Men (1329/2014) amended the provisions of the Act on Equality between Women and Men (609/1986) regarding the content of equality plans and pay surveys. Now, personnel representatives shall have sufficient opportunities to participate in and influence the drafting of the equality plan. If pay surveys reveal unfounded pay differences between men and women, these must be analysed and accounted for. If the pay differences are unfounded, the employer shall take corrective action. The Committee notes, however, the Government’s indication that in carrying out pay surveys, wages are usually only compared between employees with the same occupational title or employees in the same task groups and that it remains to be seen whether the scope of pay comparisons will be extended beyond the current situation. The Committee asks the Government to continue to provide information, including statistics, on the coverage of equality plans and pay surveys in workplaces and to monitor and provide results on their impact on the gender pay gap in the workplace in light of the amendments to the Equality Act. The Committee also asks the Government to provide information on the scope of pay comparisons used in pay surveys and in this context would like to refer to its comments regarding scope of comparison.

Scope of comparison. Repeatedly, the Committee has asked the Government to take action to enable a broader scope of comparison in the context of determining whether there has been compliance with the principle of equal remuneration for men and women for work of equal value. The Committee recalls its previous comments noting that, according to survey results, only 17 per cent of the workplaces had conducted comparison of wages of men and women across the boundaries set by collective agreements. The Committee notes that supervision of pay discrimination indicates that the principle of equal pay is understood in a very narrow way in many Finnish workplaces, employers sometimes claiming that it is not possible to compare wages between employees placed at different pay levels. The Committee notes that the equal pay provision in the Act on Equality between Women and Men (609/1986) does not contain any guidance or clarification as to the meaning of work of equal value. The Committee recalls that comparing the relative value of jobs in occupations which may involve different types of skills, responsibilities or working conditions, but which are nevertheless of equal value overall, is essential in order to eliminate pay discrimination resulting from the failure to recognize the value of work performed by women and men free from gender bias (see 2012 General Survey on the fundamental Conventions, paragraph 675). In order to address gender pay discrimination in a gender segregated labour market where women and men are concentrated in different trades, industries and sectors the reach of comparison between jobs performed by women and men should be as wide as possible, extending beyond occupational categories, collective agreements and enterprises. The Committee encourages the Government to take steps towards clarifying the meaning of equal pay for work of equal value and ensure that a wide scope of comparison is being applied in all activities which affect the application of the principle of equal pay for men and women for work of equal value, including equal pay surveys.

The Committee is raising other matters in a request addressed directly to the Government.