EMCC European Monitoring Centre on Change

Compass Group Finland

Company/Organisation:
Compass Group Finland

Geographic Location

Country: Finland

Company

Sector: Hotel / restaurants
Accomodation and food service activities
56.1 - Restaurants and mobile food service activities
Number Employed: 3500

Employment Effects

Announcement Date: 27-01-2021
Planned Job Reductions min: 365
Type of Restructuring: Internal restructuring
Employment Effect Start: 27-01-2021
Foreseen End Date: 31-12-2021
Direct Dismissals: 365
Other Job Reduction Measures: 2850

Additional Information

The multinational foodservice company Compass Group, based in the UK, has announced restructuring measures for its division in Finland. As a result of diminished revenue during the COVID-19 pandemic, the company has decided to dismiss 365 people. In addition, the working hours of another 550 employees will be reduced from full-time employment to part-time work, and 2,300 will be subject to temporary lay-offs, either fixed-term or indefinite. 

The CEO of the company stated tat teleworking has had a great negative effect on the company, as it is focused on catering for staff and school restaurants. The Group anticipates that some of these changes in consumer habits may be long-lasting or even permanent, whereby internal restructuring was considered necessary to increase the company's competitiveness.

The trade union representatives have expressed disappointment for the company's decision and are calling for restructuring through temporary layoffs rather than direct dismissals. 

In Finland, Compass Group employs 3,500 people and runs around 600 restaurants. The company operates in several sectors, including business and industry, healthcare and the elderly, education, sports and leisure, and defence and maritime areas.