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Strikes hit UPM mills in Finland

September 16, 2008 Comments Off

Around 6,000 UPM workers in Finland began a 24-hour strike this morning to protest against mill closures affecting around 1,600 jobs by

Production lines were shut at some six paper and pulp mills in response to the proposed closures of the Kajaani paper mill and the Tervassari pulp mill.

The strike, which began at 6am (4am BST) is supported by the International Federation of Chemical, Energy, Mine and General Workers’ Unions (ICEM).

ICEM general secretary Manfred Warda said the strike was necessary to “send the company a strong message that it must do far more to protect jobs in this vital Finnish industry”.

UPM said that it was taking action to “secure profitability in a business environment of slow growth and rising costs”. The closures would result in a fixed cost savings of about €70m (£55.6m).

UPM president and chief executive Jussi Pesonen said: “With today’s market outlook and the recent cost development, UPM’s paper and pulp production in Finland cannot continue in its current form and extent.”

The firm is also looking to improve the efficiency of its Raflatac labels division.

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