Aalto University's statutory negotiations ended

Aalto University's statutory employer-employee negotiations have ended. The negotiations that began on 17 November 2015 concerned the entire personnel excluding professors, altogether 4100 employees. The aim of the negotiations was to adapt university operations to the weakened economic situation in a manner that secures Aalto’s long-term future for teaching, research and innovation activities. A maximum reduction of 350 persons was estimated.

The employer’s report will be finalised by the end of January 2016. As a result of the negotiations, the personnel reductions are currently estimated to affect a maximum of 190 people. In addition, the number of personnel would decrease through retirements, expiring fixed-term employment contracts, et cetera, by approximately 130 people by the end of 2018. Measures related to the redundancies will be primarily implemented during February 2016. Job retraining will be offered for those leaving their positions.

The measures discussed during the negotiations will save 17 million euros annually in personnel costs by the end of 2018 compared to 2015. The personnel cost savings will cover around one-fourth of the public funding cuts estimated at 66 million euros by 2018, compared to 2015 levels. The aim is to offset the majority of the public funding cuts by making significant savings in facility and procurement costs, using investment returns from the endowment capital and by securing additional funding. Leadership is working hard to secure the resourcing for the upcoming years.

- Together, Aalto’s leadership and personnel came up with alternatives for realising the savings. These proposals were carefully considered when planning austerity measures. We have done everything possible to secure our core activities and aim to accomplish the majority of the savings in facility and procurement costs. Nevertheless, the reduction in our public financing is so extensive that, regrettably, we are also forced to carry out savings targeting personnel. Despite this difficult situation, the atmosphere of the negotiations was constructive, says Tuula Teeri, President of Aalto University.

- However, it is worth noting that the introduction of such extensive cuts, in addition to the previously accomplished savings during 2014-2015, places utmost demands on the capacity of our personnel. I completely understand Aalto personnel who are worried about the future of their employment contracts because of these savings, and I share their concerns.

Further information and media contacts via Aalto University Communications: Communications Manager Anu Salmi-Savilampi, tel. +358 50 464 4585, [email protected]