Ponsse’s cooperation negotiations pursuant to the Act on Co-operation within Undertakings were finalised. The negotiations concerned Ponsse’s personnel groups and all operations in Finland, apart from technology company Epec Oy. This covers a total of 1017 people. Source: Timberbiz
According to the negotiation, the company will discharge 23 employees. The personnel reductions are divided into different functions within the company.
In addition, temporary layoffs concerning the company’s operations, with the exception of maintenance and spare parts services were agreed upon, corresponding to a maximum of 50 annual work units.
Layoffs will be implemented if the company’s financial or production situation requires, and their maximum duration will be 90 days per person. Layoffs can be implemented during the rest of 2022 and during 2023.
In addition to the discharges based on the negotiations, the number of personnel in the company will decrease by 43 people by the end of the year due to the termination of fixed-term employment contracts, retirements and resignations that have occurred during the negotiations.
During the negotiations initiated on 13 June 2022, personnel reductions and layoffs corresponding to a maximum of 120 annual work units were negotiated.
“We have to adapt our operations to the changed situation while keeping the impact on our personnel at a minimum. Our needs for adaptations are related to the Russian invasion of Ukraine and the resulting stoppage in exports to Russia, increased manufacturing costs, and the decrease in profitability and cash flows,” said Juho Nummela, President and CEO of Ponsse.
Ponsse’s export and service operations in Russia have been suspended since 2 March 2022. The company signed an agreement of the sale of its Russian operations on 28 June 2022.
