Kemira set to axe 300 jobs in cost-cutting move

04 August 2008 09:36  [Source: ICIS news]

LONDON (ICIS news)--Kemira has initiated a restructuring plan to save an annual €50m ($78m), which may result in the loss of 300 jobs in Finland, the specialty chemicals company said on Monday.

 

Kemira said the annual saving, including €20m in Finland, would be achieved through cost-cutting measures such as improving the group’s structure, organisation and current operating models.

 

“None of our Finnish sites will be closed, but the possibility of some direct lay-offs cannot unfortunately be ruled out. Over the next few weeks, we will negotiate the process with our employee representatives,” said Jukka Oinonen, vice president of Kemira's human resources.

 

The company said negotiations in this regard had started at five of its Finnish sites: Oulu, Vaasa, Aetsa, Espoo and Helsinki.

 

Kemira has approximately 10,700 employees worldwide, including almost 3,000 based in 13 sites in Finland.

 

Last week the company reported a 43% drop in its second-quarter net profit to €18.9m due to surging raw material and energy costs.

 

($1 = €0.64)

By: Mark Watts
+44 20 8652 3214

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