Probation Period Regulations in Finland (TSL 1:4 §)
Under Chapter 1, Section 4 of the Finnish Employment Contracts Act (Työsopimuslaki 55/2001), the employer and employee may agree upon a trial or probation period (koeaika) commencing at the start of the employment relationship. The legal purpose of a probation period is to allow both parties to evaluate the suitability of the work, the work environment, and the employee’s capabilities.
Maximum Duration of the Probation Period
Finnish law establishes strict upper boundaries on trial periods:
- Permanent Contracts: The statutory maximum probation period is six (6) months.
- Fixed-Term Contracts: The probation period may not exceed 50% of the contract duration, subject to the absolute maximum of 6 months. For instance, an 8-month fixed-term contract can have a probation period of at most 4 months.
The 30-Day Extension Rule for Sickness & Family Leave
A significant feature of Finnish employment law is that the probation period is not automatically paused by short sickness absences. However, if an employee accumulates 30 calendar days of absence due to incapacity for work or statutory family leave, the employer is legally entitled to extend the probation period by one (1) month.
The calculation follows a strict formula: ⌊absence days / 30⌋. For example, 45 days of sick leave yields 1 additional month of probation; 62 days yields 2 additional months.
Mandatory Notice Requirement: The employer must notify the employee in writing of the probation extension before the original probation period expires. If the employer fails to notify the employee before the original deadline, the probation period expires normally and cannot be revived.
Termination During Probation: Immediate Effect & Legal Protections
During the probation period, either party may terminate the employment contract with immediate effect without observing any notice period. The employment relationship legally concludes on the day the notice of cancellation is delivered.
However, contrary to widespread misconceptions, an employer does not have unlimited discretion to dismiss an employee during probation:
- Prohibition of Discrimination: Termination can never be based on grounds prohibited by the Non-Discrimination Act (Yhdenvertaisuuslaki) or Equality Act (Tasa-arvolaki), including age, nationality, origin, language, religion, gender, pregnancy, or sexual orientation.
- Inappropriate Grounds (Epäasialliset syyt): Under Supreme Court precedent KKO 2024:63, termination during probation cannot be grounded in reasons that are arbitrary or unrelated to the employee’s suitability for the work.
- Right to a Hearing (Kuuleminen, TSL 9:2 §): Before terminating an employment contract during probation, the employer must afford the employee an opportunity to be heard regarding the reasons for the dissolution. The employee has the right to be accompanied by a shop steward (luottamusmies) or legal advisor.