UPM cuts staff to boost plywood efficiencies22 April 2009
UPM has confirmed its plans to move plywood processing from its Lahti mill to its other plywood mills, with the loss of 110 jobs.
With employee negotiations now concluded, UPM says its decision should boost the efficiency of its other plywood mills at Jyväskylä, Savonlinna and Joensuu, which also produce the base panels.
UPM’s other operations in Lahti, which include the UPM ProFi wood plastic composite business and shared corporate functions, will continue.
In addition to the job cuts, UPM will also temporarily lay off the entire personnel – 320 people – at its Kaukas plywood mill for more than 90 days. The company is investigating the possibility of staff training during the lay-off period.
UPM blamed the “further weakened market situation” of plywood for its decisions, which it said were to “ensure the profitability of the operating plywood mills”.