Friday February 26, 2021

Outokumpu cuts 1000 jobs globally, 250 in Finland

Published : 23 Dec 2020, 00:33

Updated : 23 Dec 2020, 10:22

  DF Report

Photo: Outokumpu.

The Finnish steel company Outokumpu on Tuesday announced to cut about 1,000 employees at its different plants across the world, including 250 in Finland, said the company in a press release.

Outokumpu has completed its employee negotiation processes which were started in selected operating countries in November.

As a result of the negotiations, Outokumpu is reducing the employee headcount by 250 in Finland, 230 in Germany, and 170 in Sweden.

Additionally, further personnel reductions are in progress in the company’s European and American operations, with reduction of approximately 250 employees already being implemented.

The total targeted employee headcount reduction of 1,000 will be completed in full, mostly by the end of 2021.

Outokumpu targets to have a headcount of less than 9,000 in 2022.

The company took the restructuring measures for cost-savings and employee negotiations due to the challenging market situation with continuing high import pressure in Europe and the impact of COVID-19 pandemic on the global economy.

The personnel reductions are expected to generate total annual savings of approximately EUR 70 million, thereof EUR 60 million being direct personnel cost.