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If an employer neglects their obligations 

If an employer fails to fulfil their employer obligations, the TE Office or the Finnish Immigration Service may decide to refrain from issuing residence permits for employment in that company. An employer who employs a foreign national who does not have the right of residence or the right to work may be committing a punishable violation or offence. 

Financial sanction 

An employer who has hired an employee who is staying illegally in the country is liable to pay a financial sanction. The financial sanction ranges from EUR 1,000 to EUR 30,000 and will be imposed by the Finnish Immigration Service by virtue of the Employment Contracts Act. 

In some cases, the employer may be liable to compensate for the costs of returning an employee who has been staying illegally in the country. 

Employer’s violation of the Aliens Act 

Examples of cases where an employer may be committing a violation of the Aliens Act: 

  • An employer who deliberately or through negligence employs a foreign national who does not have the right to perform the type of gainful employment he or she is performing. 
  • An employer who deliberately or through gross negligence gives false or misleading information to the authorities on a foreign employee’s terms of employment or duties.  

Refraining from issuing residence permits on the basis of work 

In some cases, the Finnish Immigration Service or the TE Office may issue a separate decision on refraining from issuing residence permits on the basis of work for a certain employer. If such decision has been made and it is still valid when a foreign national applies for a residence permit on the basis of work in the service of that employer, the employee will receive a negative decision on the application. A decision to refrain from issuing permits is valid for three to twelve months. The decision on refraining from issuing permits may be appealed against by the employer.  

Employers of people who apply for a residence permit on the basis of work 

A decision to refrain from issuing permits may be made if the employer has given false or misleading information on, for instance, the collective agreement applicable to an employee’s employment relationship, on the employer's ability to meet their obligations as an employer, or on the principal terms of work. The principal terms of work include: 

  • the employee's main duties; 
  • the grounds for the determination of pay, and the pay period; 
  • the working hours to be observed; 
  • the professional field in which the employee will work. 

A decision to refrain from issuing permits may be made if the information that the employer has given is clearly false or highly misleading and if the employer has not corrected that information within the given time limit despite being asked to do so. 

Further, a decision to refrain from issuing permits may be made if the employer has been sentenced for an employer’s violation of the Aliens Act due to giving, deliberately or through gross negligence, false or misleading information to the authorities on a foreign employee’s terms of employment or duties and the requirements of these duties. The sentence imposed must have become final. 

Employers of seasonal workers 

A decision to refrain from issuing permits may be made if the employer has fundamentally neglected their employer obligations. Examples of cases when an employer of seasonal workers may be neglecting their obligations: 

  • The terms of employment of a seasonal worker do not comply with the applicable collective agreement. 
  • A seasonal worker is not provided with appropriate accommodation that ensures an adequate standard of living if the employer is responsible for providing accommodation. 

Further, a decision to refrain from issuing permits may be made if a seasonal worker's seasonal work permit has been refused for reasons related to the employer. Examples of such reasons: 

  • Sanctions have been imposed on the employer for an infringement of employer obligations or for illegal work. 
  • The employer has failed to comply with the obligations imposed on an employer in legislation or in a collective agreement, when these obligations concern social security, taxation, workers' rights, working conditions or terms of employment.