Increasing costs, falling pulp prices and a weaker USD in the long term are the reasons why 24 people have been given notice of redundancy at the Rottneros’ Vallvik Mill in Sweden today.
– This is a tough message we have given to our staff today. We have a good year behind us, but as we look ahead, it is necessary to review our organisation in order to maintain stable operations going forward, says Lennart Eberleh, President and CEO.
The paper and pulp industry has generally had a good year in Sweden, but the Rottneros Group now needs to reduce its costs to prepare for the future.
– It may be difficult to understand that we have to lay off staff, but it is necessary for us to have a long-term profitable operation at Vallvik Mill, says Lennart Eberleh.
Last year, 36 people were made redundant at Rottneros Mill in Värmland when a pulp line was shut down due to a declining market and increased costs.
– As in Värmland, our aim is to have a respectful and considerate process. We know that the period from when information about the notice of layoffs is received until negotiations are completed and the redundancies are announced takes time and is worrisome for many. The primary focus now is on employees, says Ida Mörtsell, Director of HR and Communication.