Stora Enso announces change negotiations to commence with union representatives at Gruvön sawmill in Sweden to propose increased focus on sawn goods operations and closure of the Cross Laminated Timber production unit. This plan would result in a permanent closure of the Gruvön CLT production by the end of this year.
The negotiations cover approximately 220 employees at Gruvön mill, including the Nordic CLT sales organisation. The plan would affect a maximum of 80 positions. No decisions regarding the planned closure or employee impact will be made until the local change negotiations have been concluded.
The Gruvön Cross Laminated Timber operations have been challenged by unexpectedly slow market growth in past years. Increasing wood costs have further pressured profitability in addition to relatively high fixed costs of CLT production.
The head of business at Unit Skoghall, Jonah Lindqvist, said: “Due to subdued market conditions, the prospects for sustainable profitability in CLT production in Gruvön have been too limited despite the excellent efforts made by our employees. The planned change will enable us to continue to focus and further develop our high-quality sawn and planed goods production at Gruvön sawmill in line with our strategy. We will support our personnel throughout the process and aim to work on restructuring the organisation at Gruvön accordingly”.
Stora Enso will remain committed to providing high-quality CLT products to its Nordic customers from its three other CLT units located across the Czech Republic and Austria. Sawn goods deliveries to customers from Gruvön continue as usual. If implemented, the planned closure would not have any impact on Business Unit Skoghall’s wood consumption.
Stora Enso’s Gruvön mill produces sawn timber, processed timber, pellets and made to order products for construction.
Source: www.storaenso.com
