Oriola-KD to begin co-operation negotiations in Finland to improve operating efficiency
Oriola-KD Corporation Stock Exchange Release 20 January 2015 at 12.30 p.m.
Oriola-KD to begin co-operation negotiations in Finland to improve operating
Oriola-KD will begin co-operation negotiations in Finland on 28 January 2015.
The negotiations concern the planned efficiency programme of Oriola-KD
Corporation and Oriola Oy and possible impacts on personnel due to the
restructuring of operations in accordance with the planned programme as well as
production-related reasons. Approximately 500 people fall within the scope of
the negotiations. According to the company's preliminary estimate, the
negotiations could result in a need to reduce the workforce by 50-65 people in
Finland, which would be equivalent to an annual cost saving of approximately 2
As a consequence of the sale of its Russian businesses, Oriola-KD's net sales
decreased by about 40 per cent, and the number of the company's personnel was
reduced by half. In the planning for Oriola-KD's Group Administration support
function, it will be necessary to find solutions for reorganising these
functions in line with the requirements and needs of the company's business
The objective in the planned reorganisation of the Finnish business operations
is to respond to the toughened competitive environment, to improve the
efficiency of operations and to enhance the service provided to customers.
Oriola-KD's continuing business operations employed approximately 2,300 people
at the end of September 2014, of whom 22 per cent worked in Finland and the
Baltic countries and 78 per cent in the Swedish operations.
President and CEO
President and CEO
tel. +358 10 429 2109
tel. +358 10 429 2069
NASDAQ OMX Helsinki Ltd
FI-02200 Espoo, Finland