Finland Times

The government is going to abolish the age limit for the members of the boards of state-owned companies to ensure full use of all available resources.

A press release of the government communications department said Monday that the age limit previously applied to board members of such companies would be abolished in spring 2014.

The minister responsible for ownership steering Pekka Haavisto on Monday met the chairpersons of the boards of companies in which the state is the major shareholder, to announce a change to age limits.

Minister Haavisto believes that the current economic situation calls for full use to be made of all resources:

“While we need the perspectives of talented young blood on the boards of state-owned companies, we should be careful not to marginalize those whose expertise and experience would bring added value,” the minister noted.

This ownership steering decision would apply to all companies in which the state was the majority shareholder. In companies whose articles of association specify an age limit, the required changes will have to be agreed in an AGM. The current age limits range from 68 to 70.

For companies in which the state is a minority shareholder, the new policy would apply to appointments in which the state can have a say.

Characterising the issue as a matter of ending age discrimination, Haavisto said: “With this decision, the state can play its part in changing the outdated idea that age itself is a barrier to effective performance in demanding roles. With the new way of thinking having been adopted elsewhere in society, the state wishes to set an example as an owner of companies.”

Haavisto said abolishing the age limit would lead to even greater attention being paid to the competencies and commitment of board members.