Konecranes Starts Statutory Negotiations In Finland

As stated in the stock exchange release published on July 24, 2013, Konecranes starts new measures to reduce the company’s annual cost base by €30 million by the end of 2014.

Konecranes will start statutory negotiations in Finland regarding possible temporary and permanent layoffs. It is estimated that the possible permanent personnel reductions in Finland will affect, at most, 90 employees. The reductions in personnel will be made through permanent reductions and early retirements, and by reducing the use of hired personnel and temporary employees.

The statutory negotiations will affect all personnel at Konecranes Plc, Konecranes Finland Oy and Konecranes Service Oy in Finland. In addition to possible permanent layoffs, Konecranes will negotiate possible temporary layoffs and early retirements. The company will also reduce the use of hired personnel and temporary employees. Konecranes employs about 2,000 people in Finland.

The actions to be agreed in the statutory negotiations are estimated to be completed by the end of first quarter of 2014. The amount and duration of the possible temporary layoffs cannot yet be estimated.

The aim of the measures is to adjust the company’s cost structure and capacity to correspond with the current, weakened market situation and to secure Konecranes’ future competitiveness. The considered actions are globally expected to affect a maximum of 600 people through redundancies, temporary layoffs and early retirement. Konecranes currently employs approximately 12,000 persons in 48 countries.