Hartwall's employee consultation negotiations have finished and the company has decided to implement its' reorganising and investment plans. Tornio brewery will be closed in September 2010 and the brewery's all 100 employees will lose their jobs. Hartwall's production will be consolidated into the Lahti plant where a new canning line will be invested. At the new canning line, around 20 jobs will be created. New sales organisation will be in place January 1, 2010 leading to 25 job losses in the sales functions.
The current market place with increased price competition, rising alcohol taxation, declining beverage market, suggested increase on carbonated soft drinks tax and increased passenger imports put pressure on Hartwall's business. At the same time, the structure of the company's customers has changed.
"The reorganisation resulting people losing their jobs is a very difficult decision. However tough, to remain competitive in the current market situation, having two production sites is no longer economically justified. The sales reorganisation is needed to better meet the present market structure of our customer. We regret the impact of the decision for those losing their jobs, as well as for their families", says Jan-Kees Nieman, Managing Director of Hartwall.
The new canning line investment in Hartwall Lahti enables Hartwall to better meet the increased demand for cans as beverage packaging and prepare for the future. The investment will create around 20 jobs in canning production and they will first be offered to the leaving staff. The new line will be up and running in summer 2010.
Hartwall started the employee consultation negotiations October 8, 2009 and the negotiations finished last week, November 26, 2009. As planned, the Tornio brewery will be closed in September 2010 and the brewery's all 100 employees will lose their jobs. Production at the Tornio plant will continue until the end of August 2010.
The sales reorganisation will lead to 25 job losses in the sales functions. In the original plan, Hartwall estimated 30 job cuts in the sales. The new sales organization will be in place as from 1 January 2010.
As part of the employee consultation negotiations Hartwall has agreed with the employee groups about the support means for all leaving staff.
Press enquiries:
Hartwall Ltd, communications manager Tuija Kleimola, tuija.kleimola@hartwall.fi, tel. +358 20 717 2595