Metsa Group adopts cost reduction measures
Metsa Group introduces cost saving measures after completing profit improvement in Finland. In July, the team announced plans for s EUR 300 million cost savings and profit improvement programme for reducing expenses while accelerating efficiency and improve competitiveness.
Metsa Group introduces cost saving measures after completing profit improvement in Finland. In July, the team announced plans for s EUR 300 million cost savings and profit improvement programme for reducing expenses while accelerating efficiency and improve competitiveness. Most of the cost savings are possible through reduction of external expenditure. Metsa Group focussed on aimed at savings in fixed expenses and that is the reason for which the Group announced on October 2 that Metsa will launch statutory negotiations in its operating countries.
The statutory negotiations on cost saving approaches are now completed in Finland. It has been estimated that there has been a need for the reduction in the number of permanent positions was 540. Owing to the statutory negotiations, it has been decided that 520 permanent positions will be terminated, with a maximum of 440 redundancies. The reductions at Metsa Board in Finland are included in these figures. Metsa Board is a listed company part of Metsa 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 Metsa Group.
Metsa 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.
Metsa Group has its roots in the Finnish forests: our parent company Metsaliitto Cooperative is owned by over 90,000 forest owners. We use wood to make recyclable products for the day-to-day lives of millions of people globally. Metsa focuses on wood supply and forest services, wood products, pulp, paperboards, and tissue and greaseproof papers.
Source: Metsa Group
