EMCC European Monitoring Centre on Change

Fazer Skogaholm

Company/Organisation:
Fazer Skogaholm

Geographic Location

Country: Sweden
Region: Södermanlands län; Östra Mellansverige
Location of affected unit(s): Eskilstuna

Company

Sector: Manufacturing
Manufacture of food products, beverages and tobacco products
10.71 - Manufacture of bread; manufacture of fresh pastry goods and cakes
Number Employed: 295
Group: Fazer Group

Employment Effects

Announcement Date: 31-08-2012
Planned Job Reductions min: 91
Type of Restructuring: Internal restructuring
Employment Effect Start: 01-01-2013
Direct Dismissals: 91

Additional Information

The Finnish bakery company, Fazer, has announced that it is to cut 91 full-and part-time jobs in its bakery Fazer Skogaholm in Eskilstuna, Sweden.

The notice is equivalent to 65 full-time positions. The reason behind the decision is reduced consumption of packaged bread.

Fazer's bakery in Eskilstuna has 295 employees and is the company's largest site. The company is a part of Fazer Group which has two business units, Fazer Food Services and Fazer Bakeries & Confectionery. Fazer Group operates in eight countries.

The negotiations between the unions and the company have begun. The seniority rules, also called the "last in, first out" principle, forming part of the Swedish Employment Protection Act, means young employees are most likely to be affected by the downsizing. The implementation of the measure is expected to start in January 2013.

As of September 2012, it is not known when the job losses will be implemented by.