03/10/2009 - 01:53 PM
Metso has commenced personnel negotiations regarding the reduction of about 400 out of the 1,200 employees in their Fiber business line (FBL) operations in Sweden and Finland.
FBL has initiated major changes in its operating model and organization structure to adjust operations to geographic shifts in the pulp and paper industry, and to decreased demand for capital equipment and for project sales. As part of this process, FBL’s five business units will be consolidated into two streamlined units, Fiber Processing Unit and Wood and Pulp Handling Unit. The reductions will affect all personnel groups. Negotiations with unions have been commenced and are aimed to be concluded before the end of 2009.

As a result of the restructuring, FBL’s annual costs are estimated to decrease by more than EUR 20 million. The cost reductions are estimated to be realized in full starting in 2011. One-off restructuring costs are estimated to be EUR 15 million, the majority of which are estimated to be booked during the 4th quarter of 2009.

(Metso)