EMCC European Monitoring Centre on Change

Isku

Company/Organisation:
Isku

Geographic Location

Country: Finland
Region: Manner-Suomi
Location of affected unit(s): Lahti and others

Company

Sector: Manufacturing
Other manufacturing, and repair and installation of machinery and equipment
31 - Manufacture of furniture
Number Employed: 748

Employment Effects

Announcement Date: 12-03-2020
Planned Job Reductions min: 150
Type of Restructuring: Internal restructuring
Employment Effect Start: 01-09-2020

Additional Information

Isku, a Finnish furniture manufacturer, has announced the dismissal of 150 employees. The dismissals cover all of the 20 units of the company. However, the Lahti production unit will be affected the most as approximately 100 employees of the unit will be dismissed. The dismissals affect both white-collar and blue-collar employees. The company will also temporarily lay off some of its personnel. The restructuring process plans savings amounting to €10 million. Restructuring is needed since the rules applied by public actors to procurement have changed and the company has recently lost an important tender. According to the company, public actors prioritise price over sustainability and domestic production in the tendering process which has decreased the demand for the company's products. Isku plans to centralize all production in Lahti to one factory on Mukkulankatu.

Sources: