Urakka

Urakka is a Finnish term meaning an undertaking, contract or assigned job, commonly used in construction, manufacturing and other work where an external party carries out a defined scope of work. In practice it denotes both the project or task itself and the contractual relationship by which it is performed.

In contracting contexts an urakka specifies the work, schedule, quality requirements and payment terms between the client (tilaaja) and the contractor (urakoitsija). Common forms include lump-sum (fixed-price) contracts, unit-price contracts and time-and-materials or cost-reimbursement arrangements; each allocates risk for scope changes, cost overruns and delays differently. Tendering and bidding (urakkakilpailu) are typical steps in selecting a contractor.

The word is also used in labour contexts to describe piecework pay (urakkapalkka), where compensation is tied to units produced or tasks completed rather than hours worked. Practical elements of an urakka include contract documentation, milestones, guarantees, advance payments and final acceptance procedures.

In Finland and other jurisdictions the conduct of urakat is governed by general contract law, sector-specific regulation and widely used standard conditions that define responsibilities, dispute resolution and liability. Colloquially, urakka can refer to any significant undertaking or chore, reflecting its broader sense as a substantial piece of work.