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Bargaining on Pensions: The Finnish Pension Reform of 2001–2002

In: Collective Bargaining and Wage Formation

Author

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  • Jukka Lassila

    (The Research Institute of the Finnish Economy)

Abstract

A major reform of the Finnish private-sector earnings-related pension system was negotiated in 2001–2002 between central organisations of employers and trade unions and representatives of the central government. This paper describes the reform, views it in the light of previous reforms, and analyses the effects of the reform on the welfare of different cohorts and different educational groups. The analysis of the reform showed that current old workers generally kept their positions, and even improved them. Younger workers lost somewhat. Future workers will gain. Early retirement in general was punished, which on average will hit low-educated employees harder than more educated groups. The reform process also showed that the relative positions of trade unions and between-union comparisons were important.

Suggested Citation

  • Jukka Lassila, 2005. "Bargaining on Pensions: The Finnish Pension Reform of 2001–2002," Springer Books, in: Hannu Piekkola & Kenneth Snellman (ed.), Collective Bargaining and Wage Formation, pages 169-186, Springer.
  • Handle: RePEc:spr:sprchp:978-3-7908-1598-6_12
    DOI: 10.1007/3-7908-1598-5_12
    as

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