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Metso Reduces Workforce in Finland, Sweden, and New Zealand
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Helsinki, Finland, 21 November 2008 -- Metso has announced lay offs and staff reductions in Finland, Sweden, and New Zealand. The turmoil in the global economy has led to a changed market environment for the pulp and paper industry, creating a weaker demand for Metso's products and services. The company must therefore adjust its capacity accordingly. Operations need to be downsized and made more flexible to handle changes in the market.

In Finland, Metso will start personnel discussions regarding the temporary lay-off of all personnel, a total of some 400 people, in Valkeakoski, Anjalankoski, and Jämsänkoski. The need for these temporary lay-offs results from a reduction in the amount of work.

The members of staff to be temporarily laid off, and the duration and timing of these lay-offs, will depend on the workload of each department. The lay-offs will commence in January 2009 at the earliest.

Metso's units in Valkeakoski, Anjalankoski, and Jämsänkoski are part of the company's Fiber business line and Paper and Board business line. They specialize in machinery and related expert services for stock preparation, recycled fiber production, and mechanical pulping.

In Sweden,  Metso will start personnel discussions regarding the reduction of 98 persons in Sundsval and redundancy of 40 persons at their Fiber business line units in Karlstad.

The reductions will commence in the end of 2008. The trade unions and affected members of the staff have been informed about the planned changes and reduction of workforce. The one-time costs related to these arrangements are not expected to be material for Metso.

As a first measure, Metso is also making significant reductions in the use of external labor.

The Metso units in Sundsvall are part of the company’s Fiber business line and employ approximately 650 persons. They supply machinery and equipment, as well as aftermarket and expert services for chemical and mechanical pulp mills. Metso's Fiber business line units in Karlstad employ a total of 245 persons. They supply pulp industry customers with machinery, equipment and spare parts, as well as aftermarket and expert services. Altogether Metso employs more than 3100 people in Sweden.

In New Zealand, Metso will reduce staffing by 25 persons at its manufacturing facility in Matamata. The reductions will commence by the end of November 2008. The affected members of the staff have been informed about the planned changes and reduction of workforce.

The Metso unit in Matamata is part of the company’s Construction business line and it employs 133 persons. The unit specializes in vertical shaft impact crushing equipment and related services, and the offering serves both mining and construction customers. Altogether Metso employs 137 people in New Zealand.

Metso is a global engineering and technology corporation with 2007 net sales of more than EUR 6 billion. Its more than 27,000 employees in approximately 50 countries serve customers in the pulp and paper industry, rock and minerals processing, the energy industry and selected other industries.

www.metso.com
 
 

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