Veikkaus to cut up to 190 jobs

The state-owned gambling company Veikkaus will cut jobs of up to 190 employees as the company finalized a co-determination negotiations concerning 830 people, said Veikkaus in a press release on Friday.

Veikkaus started negotiations in August to streamline, and reform its organization as the operating environment and business volume have undergone profound changes in the past few years, with its business volume, particularly the physical sales channels dropping

The move led to a drop in the volume of gaming via Veikkaus’ physical sales channels by 40 percent.

“… Unfortunately, the accommodations we have had to make also mean that the employment relationships of about 125–190 members of Veikkaus personnel come to an end at Veikkaus,” said Jari Heino, Senior Vice-President Channels and Sales.

The exact number of the employment relationships to be terminated will be still affected by, e.g., the decisions to accept the positions and titles offered to the employees, as well as the potential internal transfers within the company.

Further, the terms of the employment contracts of about 50 officials and 60–110 employees will change materially. The new organization will enter into force in January 2022.

By streamlining operations and adjusting the number of the members of Veikkaus’ personnel, the company aims to achieve cost savings of an estimated 15 million euros by the year 2024.

A significant share of the savings will be based on the closure of about 15 gaming arcades, the profitability of which has decreased too much due the sustainability measures taken.

The names of the gaming arcades to be closed will be published as soon as the exact closure dates become available.