Fiskars centralizes glass manufacturing and expands the Iittala factory
Fiskars Corporation Press release June 6, 2013
The codetermination negotiations started at Iittala and Nuutajärvi glass factories in April, 2013 have now been concluded. The reason for the negotiations was the company’s plan to reorganize the Group’s glass manufacturing operations and centralize the glass production in Iittala. As a result Fiskars centralizes its own glass manufacturing into one unit in the Iittala glass factory and production currently based in Nuutajärvi will be transferred to Iittala in 2014.
The negotiations concerned 223 employees at the glass factories, of whom 189 are located in Iittala and 34 in Nuutajärvi. Possible redundancies were estimated to affect a maximum of 36 people. As a result of the negotiations, a total of 27 persons have been offered a possibility to transfer from Nuutajärvi to Iittala. The total number of redundancies is defined to be 28 positions, of which 8 will take place through retirement.
As informed earlier, the section in use for mouth blown glass at the Iittala factory will almost double in size and machinery will be renewed. The work on factory expansion and the permission process will begin immediately, with an aim to begin construction already during autumn 2013. The expansion is due to be ready during first half of 2014, after which the transfer of production from Nuutajärvi to Iittala will begin.
Because of the current market situation and the negative development in demand, temporary lay-offs will occur at the glass factories. The length of these lay-offs will be six to eight weeks and will affect a total of 75 employees in the Iittala and Nuutajärvi glass factories. The lay-offs will be held in liaison with the 2013 summer holidays.
Fiskars is a leading global supplier of consumer products for the home, garden, and outdoors. The group has a strong portfolio of respected international brands, including Fiskars, Iittala, and Gerber. Founded in 1649 and listed on NASDAQ OMX Helsinki, Fiskars is Finland’s oldest company. Fiskars recorded net sales of EUR 748 million in 2012, and employs some 4,100 people in over 20 countries. www.fiskarsgroup.com.