Despite earlier rationalization measures, Itella's result is not at the targeted level and the operating environment is going through considerable changes. Printed materials are increasingly substituted by electronic ones thus decreasing Itella's delivery volumes. Competition has intensified and economic growth slowed down. There is a significant need to ensure competitiveness and profitability, due to which Itella will start performance improvement program for 2013-2014. The target of this new program is to achieve a cost saving of EUR 100 million.
Cooperation negotiations will start in Finland on April 15th 2013. The planned changes concern centralized and decentralized Group Functions, Itella Mail Communications and Itella Logistics business groups in Finland, Denmark, Sweden, Norway, Estonia, Latvia, Lithuania and Poland.
In all countries, the cooperation negotiations and changes affect altogether about 1,500 people working mainly in administrative expert or supervisory positions. Based on a preliminary estimate, the number of redundancies is estimated to be 350 people at most, of which 290 people at most in Finland.
The cooperation negotiations about to start now will not affect daily postal services in Post offices, customer service or production duties, such as sorting and delivery, transportation or service warehouse operations.
In Finland, Itella Group will offer the people made redundant a severance package including a compensation proportionate to the duration of employment, from job to job support package for the job market outside Itella, retirement options, and statutory measures concerning transition security. In other countries, Itella will proceed in accordance with local laws and practices.
Press releases related to improving efficiency:
More information and interview requests
Itella MediaDesk, tel. +358 20 452 3366 (Mon-Fri at 8.30 am - 4.30 pm Finnish time)
Itella Group provides solutions for managing information and product flows. Itella operates in the fields of mail communications, logistics, and financial management in Europe and Russia. Net sales in 2012 amounted to EUR 1,947 million. The number of staff is approximately 27,500. Corporate services are delivered under the Itella brand, while the Posti brand is used for services targeted at consumers in Finland. Further information is available online at www.itella.com.