Europe · EUR

Hire in Finland

Republic of Finland — 5.6 million population, $53,650 GDP per capita. Everything you need to know about employment law, tax, compliance and hiring in Finland.

Capital

Helsinki

Currency

Euro (EUR)

Languages

Finnish, Swedish

Time zones

UTC+2 (EET) / UTC+3 (EEST)

Hiring overview

Typical time to hire
2-3 weeks for contractor, 3-6 weeks for full-time
Entity requirement
Finnish Oy (osakeyhtio). Registration at PRH (Patent and Registration Office).
EOR available
Yes — from $399/employee/month through a Corpshore entity
Contractor of record
Yes — from $39/worker/month

Employment law

Standard workweek
37.5-40 hours (sector-dependent)
Maximum weekly hours
40 hours
Minimum annual leave
25 days (30 after 15 years with same employer; Annual Holidays Act)
Public holidays
12 per year
Maternity leave
160 days parental allowance per parent (320 days total, reformed 2022). Single parent gets all 320 days.
Paternity leave
160 days per parent (from 2022 reform; previously 54 days)
Notice period
14 days to 6 months depending on tenure
Severance
No statutory severance. Negotiated packages common in practice.
Probation
Up to 6 months
Overtime rules
50% (first 2 hours), 100% thereafter. Or compensatory time off.

Tax overview

Income tax range
~25-58% combined (progressive state + flat municipal ~20%)
Corporate tax
20%
Social contributions
Employer: ~20% (TyEL pension, health, unemployment). Employee: ~7-9%.
VAT / GST
25.5% (standard, increased from 24% in 2024); 14% food; 10% reduced
Tax year
Calendar year
Treaty network
Over 75 tax treaties

Compliance landscape

Worker classification
Employment Contracts Act defines employment. Light entrepreneurship (kevytyrittajyys) is a popular intermediate form.
Data protection
GDPR + Tietosuojalaki (Data Protection Act 2018). Tietosuojavaltuutetun toimisto (DPA) enforces.
Right to work
EU nationals: free movement. Non-EU: residence permit with right to work. Startup permit available.
Non-compete
Enforceable for up to 6 months (12 months with compensation). Must protect genuine trade secrets.
Collective bargaining
Generally binding collective agreements cover ~90% of workers. Tripartite system. 2023 reform weakened national-level bargaining.

Payment rails

Bank transfer (SEPA)
Stripe Connect
Wise

SEPA standard. Siirto (Finnish instant payment) and MobilePay available. Finland has very high digital banking adoption.

Key considerations for hiring

  • 2022 parental leave reform created one of the world's most gender-equal systems: 160 days per parent
  • Helsinki is a major gaming hub (Supercell, Rovio, Remedy) and startup ecosystem
  • Slush conference is one of Europe's largest startup events
  • Finland consistently ranks #1 in education (PISA) and happiness indices

Business and cultural context: Finland

Business culture

Direct, quiet, and efficient. Finns value honesty and dislike small talk. Sauna culture extends to business networking. Meetings are punctual and decisions stick.

Key industries

Technology and gaming
Forest products
Telecommunications (Nokia)
Cleantech
Healthcare
Engineering

Talent pool strengths

Mobile gaming
Telecommunications engineering
Cleantech
Education technology
AI and data science

Historical context

Finland's gaming industry grew from Nokia's decline: when Nokia's mobile phone division collapsed in 2011-2014, thousands of engineers entered the startup ecosystem. Supercell (Clash of Clans) became Finland's fastest-growing company and sold to Tencent for $8.6B in 2016. Today, Finland has more game studios per capita than any other country.

Ready to hire in Finland?

Use our EOR service from $399/month and we handle employment law, payroll, tax and compliance in Finland for you.

Hire in Finland — employment law, tax, compliance | Corpshore Work