Finland’s service sector union PAM plans to launch a three-day political strike from February 14th to 16th. The labor action, involving up to 10,000 workers from 19 distribution centers across the country, is expected to disrupt the supply chains of major supermarket chains, including S-Group, Kesko and Lidl. The move is a response to the government’s proposed labor market law reforms and social security cuts, which have caused major concerns among workers.
Intensification of labor disputes
The strike is a continuation of previous large-scale strikes, with unions expressing frustration at the government’s indifference to workers’ demands. Joining PAM in these labor actions are industrial unions, which are organizing similar work stoppages that could affect 60,000 employees at various companies.
Potential fallout and mitigations
Despite immediate concerns about supply disruptions, Kesco and S Group representatives were adamant that supermarkets will not run out. However, it acknowledged that there may be some product shortages, particularly in the produce sector. To ensure adequacy of supply during and after the strike, these supermarket chains are asking customers not to stock up.
Widespread impact and government response
The strikes so far have involved around 300,000 people, disrupted air traffic, closed workplaces and affected sectors as diverse as industry, restaurants, hotels, postal services and retail. While acknowledging workers’ dissatisfaction, the government has expressed concern about the economic impact of the strike, estimating that it will cost around 360 million euros in gross domestic product (GDP). The ongoing labor unrest in Finland is evidence of growing worker dissatisfaction with the government’s proposed labor law reforms and the country’s economic crisis.