Helsinki / FI. (fg) Finland´s Fazer Group is planning changes in the food services, bakery, confectionery and café business, as well as in Group functions in Finland. There is a need to respond to the quick and big changes in the operational environment, to maintain the company´s competitiveness and to secure the profitability of the business. If the plans are realized, the changes will affect the employees. Fazer Group starts collaboration negotiations with white-collar employees in Finland. The possible reduction need is a maximum of 61 persons. Fazer has over 6’600 employees in Finland, of which 1’300 are white-collar employees.
«The market situation is very challenging in Finland. The consumer behaviour and the customers´ expectations have changed quickly and significantly. The price competition is hard and the growth in net sales has stagnated, as the purchasing power has declined and the consumption has fallen. It is important that we develop our products and services with the consumers´ and customers´ needs in mind. This way, we will improve our competitiveness and secure the profitability», says Christoph Vitzthum, president and CEO of Fazer Group.
Fazer´s food services business is facing challenges, due to the structural changes taking place in the Finnish industry, which have led to the decline in the amount of industrial jobs needed. This means a certain shift from contract catering to the open food service market. In the bakery business, the share of bread baked in stores is growing and that of pre-packed bread is falling. At the same time, the import of bakery products is increasing. The consumption of confectionery has declined and the competition is tough.
Fazer has considered different options to develop and improve the efficiency of its operations and is considering changes that, if they are realised, might lead to changes in the organisational structure and job roles or termination of some of the current assignments. Fazer starts collaboration negotiations in Finland, which concern white-collar employees in food services, bakery, confectionery and café businesses, as well as in Group functions. The estimated reduction need is 61 persons in total at its most. Fazer has over 6’600 employees in Finland, of which 1’300 are white-collar employees. The collaboration negotiations will begin during week 35.
«We have already done a lot to renew our business and to reduce costs. Unfortunately, this is not enough. We will help those whose employment might be terminated, by furthering their possibilities of re-employment», says Christoph Vitzthum.
Fazer in Finland
Fazer employs 6’600 persons in Finland. Fazer Confectionery employs over 1’200 persons, Fazer Bakery over 1’300 and Fazer Food Services over 4’000 persons. All Fazer´s confectionery factories and our biscuit factory are located in Finland: Vantaa (chocolate and biscuit), Lappeenranta (sugar confectionery) and Karkkila (xylitol products). Fazer produces 95 percent of its confectionery products in Finland. Fazer has six bakeries and 46 in-store bakeries, which are located in stores around Finland. 99 percent of Fazer´s fresh bread is baked in Finland. Fazer has 650 restaurants, seven Fazer Cafés and four Bakery shops in Finland.
