In July, Metsä Group announced plans for a EUR 300 million cost savings and profit improvement programme aimed for improving profitability and efficiency as well as ensuring competitiveness. The majority of the cost savings of the programme comes from reductions in external costs. In addition, Metsä Group aims for savings in fixed costs, which is why the Group announced on 2 October that it will launch statutory negotiations in its operating countries.
In Finland, the statutory negotiations have now been completed. The estimated need to reduce the number of permanent positions was 540. As a result of the statutory negotiations, 520 permanent positions will be terminated, with a maximum of 440 redundancies. The reductions at Metsä Board in Finland are included in these figures. Metsä Board is a listed company part of Metsä Group. Outside Finland, statutory negotiations are still partly continuing.
“This is a very sad moment for our entire committed work community. However, it is an indispensable part of the profit turnaround we are aiming for. Our operating environment has changed significantly, and the market situation continues to be very challenging,” says Jussi Vanhanen, President and CEO of Metsä Group.
Metsä Group offers its employees comprehensive support in adapting to the situation.
Cost provisions related to the cost savings and profit improvement programme will be recorded in the result for the last quarter of the year.
Photo/Metsä
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