Metso to start negotiations on possible temporary layoffs

Possible temporary layoffs of up to 90 days in the Aggregates business area in Finland

METSO are to start negotiations on possible temporary layoffs in their Aggregates business area in Finland due to the low order backlog at the company’s Tampere plant, along with high levels of finished product inventories.

As the autumn is typically a slower season for the aggregates business, Metso say no rapid improvement in demand is expected before the end of the year. Additionally, demand for mobile equipment has been low globally, and Metso distributors’ high inventory levels in North America are impacting the need for new machines. As a result, the company says it needs to adjust its capacity to the temporary decrease in workload and to achieve cost savings.

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. In total, approximately 560 people will fall under the scope of the negotiations.

Metso say the potential need for layoffs is up to 90 days, and these would be implemented during the end of 2024 and spring 2025. The negotiation period will be at least two weeks unless otherwise agreed during the negotiations, and decisions on possible layoffs will be made as soon as possible after the negotiations have concluded.

Metso say 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, and warn that possible layoffs may affect all personnel and personnel groups involved in the negotiations.