ETK calls for clarification of platform workers’ social security status

The Finnish Centre for Pensions (ETK) has called for clarity on the social security status of platform workers in Finland, as Finnish authorities have taken contradictory views on the issue.

A platform worker, sometimes referred to as the gig economy, includes those who work as food delivery drivers, for example. ETK said that some Finnish authorities class such workers as employed, while others view them as self-employed. The earnings-related pension is part of the statutory social security scheme.

“The contradictory rulings are unfortunate as it would be important for both platform companies and platform workers to clarify the social security of platform worker,” ETK stated.

However, Wolt Finland director, Oli Koski, a Finnish technology company that is similar to Deliveroo, told ETK: “Food couriers don’t meet the criteria for an employment relationship: they are free to choose when they work, to accept or reject deliveries, use substitutes or work for other platforms.”

Instead, Koski suggests that the position of platform workers could be improved by, for example, giving them the opportunity to collectively negotiate their working conditions with platform companies.

“Pension insurance for the self-employed (YEL) should be rebranded so the self-employed would better understand that it is an insurance and that the pension-declared income applies not only to pensions but to other social security, as well,” Koski stated.

As is the case in other countries, the number of platform works is on the increase in Finland. ETK pension decision manager, Monica Sievänen, said: “Legally, work is done either as an employed person or a self-employed person. Employees are insured by the employer; the self-employed have to insure themselves.”

However, Finnish Workers’ Compensation Centre lawyer, Elina Holmas, explained to ETK that the special features of platform work sometimes make it difficult to interpret who is liable to take out insurance.

Another lawyer, Paula Ilveskivi, stated that the current act on contracts of employment should be improved to prevent disguising an employee’s work contract as an assignment.

“Many platform workers lack job security, earnings-related social security and healthcare. Improving their status is important since the phenomenon is expanding.”

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