560 workers to affect as Metso starts layoffs talks

Finnish forest industry company Metso decided to start negotiation talks with the view to temporary layoffs of hundreds of employees, according to a press release issued by the company on Monday.

The company took the move to adjust its capacity to the temporary decrease in workload and to achieve cost savings. In total, approximately 560 people are in the negotiation scope.

The potential need for layoffs is up to 90 days, and the layoffs would be implemented during the end of 2024 and spring 2025.

It said that the order backlog at Metso’s Aggregates Tampere plant is low, and finished product inventories are at a high level.

The autumn is typically a slower season for the aggregates business, so no rapid demand improvement is expected before year-end.

Additionally, demand for mobile equipment has been low globally, and the distributors’ high inventory levels in North America are impacting the need for new machines.

To adjust the aggregates equipment production volumes to the lower demand, Metso will start union negotiations on temporary layoffs in the Tampere crushing equipment plant organization.

The negotiations will also cover all other functions and personnel groups of the aggregates business in Finland.

The negotiations will cover the grounds, impacts, and alternatives of the possible measures. The negotiation period is at least two weeks after the negotiation proposal has been given, unless otherwise agreed during the negotiations.

Decisions on possible layoffs will be made soon once the negotiations are concluded.

The extent and duration of the layoffs will depend on the development of order volumes and the respective impact on the individuals’ and departments’ workloads, as well as on the need to adjust operations and costs.

Possible layoffs may affect all personnel and personnel groups involved in the negotiations.