Strike closes Finnish sawmills

4 October 2010

Finnish sawmill workers went on strike last Friday, with union bosses warning of a further expansion to action if a pay settlement is not reached soon.

The Wood and Allied Workers’ Union, which represents 80% of workers in the sector, called the strike after talks with the state negotiator and forest industry collapsed.

Around 40 mill operations and 4,000 workers are participating in the first wave of the strike, involving employees at Stora Enso, UPM, Metsäliitto, Versowood and Vapo Timber.

The union, which terminated its collective labour agreement in the summer, has warned of escalating the strikes on October 8 and 15 to encompass more mills, unless an agreement is struck.

The Finnish Forest Industries Federation, which is involved in the talks, said demand in the sawmilling industry had weakened into the autumn and it was not possible for mills to increase production.

It said competitor countries, such as Germany, had lowered their cost levels through moderate pay solutions, while pay had increased faster in Finland than other countries over the past decade.

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