Finnish Government proposes tougher residence-permit rules to curb labour exploitation

In a press note released just after midnight on 3 July, Daily Finland confirmed that the Ministry of Economic Affairs and Employment has opened a public consultation on amendments to the Aliens Act aimed at preventing the exploitation of foreign workers. The draft would empower the Finnish Immigration Service (Migri) to suspend or refuse new residence permits for any employer suspected of abusive practices, such as charging illegal recruitment fees or under-paying seasonal staff. Under the proposal Migri could impose a temporary ban on issuing permits to offending companies, effectively shutting them out of the foreign-labour market for a defined period. The government also plans to close loopholes in the Seasonal Workers Act following infringement proceedings by the European Commission. Stakeholders have until 27 August to comment, and the bill is scheduled for parliamentary debate in the autumn session, with an entry-into-force target of March 2027. The move follows a series of investigations into wage theft in the berry-picking and restaurant sectors. By linking corporate-compliance findings directly to work-authorisation decisions, Finland hopes to deter bad actors and reassure legitimate employers that the system will not be undermined by unfair competition. Ethical-recruitment guidelines piloted with source countries in Asia will be written into subsidiary regulations. For multinational companies the message is twofold: first, conduct due-diligence audits on Finnish subsidiaries and labour providers now, as non-compliance could soon jeopardise the ability to secure new permits; second, expect longer lead times as Migri applies heightened scrutiny to applications from sectors with known abuse risks. Mobility teams should also budget for possible system changes in Enter Finland and updated document checklists once the law passes.