Govt´s draft law does not solve key problems of platform work: PAM

The draft legislation by the Finnish government does not solve the key problems of platform work, said President of Service Union United (Palvelualojen ammattiliitto-PAM) Annika Rönni-Sällinen.

PAM sent a statement on Thursday demanding significant changes to the draft legislation for it to serve its purpose, said PAM in a press release.

It seems as if the aim in the drafting has been to protect platform companies, rather than those who do the actual work, Rönni-Sällinen said.

The platform work directive that the EU adopted in December 2024 is meant to improve terms and working conditions for platform workers.

The aim of the platform work directive is to improve employment terms, working conditions and personal data protection as well as ensure the correct employment status of those doing platform work.

Currently platform workers are incorrectly classified as entrepreneurs. This excludes platform workers from labour legislation and frees platform companies of employer obligations.

“It seems as if the drafting has sought to just barely include the requirements of the directive into legislation without anything really changing in practise. If the draft legislation were to be enacted, for example the couriers PAM represents would still have to carry the risks of illness, injury and weak working conditions,” Rönni-Sällinen said.

The directive requires member states to create a legal presumption of employment. It means that platform work is assumed to be done in an employment relationship if the platform in practice directs and supervises the work as an employer would. In addition, members states are required to have effective measures to ensure that the status of platform workers corresponds to their actual work.

A legal presumption is not enough, the directive orders member states to create legislation that reduces the possibility of wrongful determination of employment status.

“The legal presumption of employment relationship in the draft legislation is worded so that it’s easy to modify the work and argue that the platform work is entrepreneurship. So, they’ve rather made sure that misclassification is still possible,” Rönni-Sällinen added.

The directive requires effective legislation in member states.

According to the draft legislation, Finland already has a sufficient system to address misclassification, so the current legislation is enough.

“The analysis is wrong, because currently platform workers are not getting justice,” said the PAM President.

Since new ways to combat misclassification are not proposed, taking the platform company to court remains the only way for individual workers to try to correct their misclassification as entrepreneur. That would mean, for example for a courier, costs of up to tens of thousands of euros for years-long legal processes.

A single court ruling would still not change twisted practices in an entire sector.

Rönni-Sällinen is disappointed, that the drafting of the legislation did not aim to permanently resolve the labour market problems of platform work, and different parties are not equally heard.

PAM, representing food couriers, was not asked for a statement, neither was the platform company Wolt.

Even though Wolt was mentioned 20 times in the draft legislation, and PAM seven times.

The government sent their draft for a platform work law, through which the EU directive will be implemented in national legislation.