Glaston’s cooperation negotiations completed

Glaston Corporation’s cooperation (YT) negotiations concerning possible temporary lay-offs and termination of employment relationships in companies in Finland were completed December 15

As a result of the negotiations, Glaston Corporation will terminate a maximum of six employment relationships. The impact on personnel is lower than estimated; at the start of the negotiations, the reduction requirement was estimated at 20 employment relationships. In addition, the negotiations have identified the need for temporary lay-offs in the period January–June 2021.

The temporary lay-offs are planned to be implemented on a function basis, taking into account workload in the first quarter. Thereafter, the need for lay-offs will be reviewed on a monthly basis.

Short-time work in Glaston’s Automotive business in Switzerland, introduced in autumn 2019, will continue until further notice, and measures in other units will be implemented according to the level of demand.

The above measures will yield estimated cost-savings of approximately 1.2 million EUR, of which permanent savings will amount to approximately 0.9 million EUR. Underlying the consolidation measures is weak demand in the Heat Treatment and Automotive & ET segments during 2020.