Metsä Board has begun restructuring negotiations with its employees as part of the company’s €200 million cost savings and profitability improvement program announced in late July.
The negotiations, which started on October 7, involve more than 2,000 employees in Finland and other operating countries. The measures aim to adjust the cost structure, improve cash flow, and enhance competitiveness amid a challenging market environment. The company estimates that up to 315 positions may be affected, including 155 in Finland, along with task reorganizations and operational streamlining.
“The challenging market situation requires consistent and effective action,” said Esa Kaikkonen, CEO of Metsä Board. “Adjusting our cost structure and improving efficiency are necessary to restore profitability to a sustainable level. Our goal is an open and constructive dialogue, and we remain committed to supporting our employees throughout the process.”
Investment projects put on hold
As part of its transformation program and cash flow improvement efforts, Metsä Board has decided to suspend several pre-engineering investment projects deemed unprofitable in the current market conditions.
These include:
- the replacement of the drying machine at the Husum pulp mill in Sweden,
- the barrier board development project at the Kyro board mill in Finland,
- and the BM2 board machine product change project at Husum, developed jointly with Metsä Tissue, where pre-engineering work will be completed by year-end.
The company stated that these decisions are designed to preserve cash flow and focus resources on its most strategic operations. One-off costs related to the restructuring will be recorded as items affecting comparability and reported after the negotiations conclude.
Headquartered in Espoo, Finland, Metsä Board is a leading European producer of fresh fibre paperboards for packaging, food service, and graphic applications. The company is part of the Metsä Group, a major player in sustainable forestry and wood processing.
