The employee negotiations at UPM's sawmill in Leivonmäki in Finland has been concluded. During the negotiations, options for continuing the operations of the sawmill in a situation where the mill has generated losses for a long time was discussed. Simultaneously, the further weakened market situation of sawn timber, the uncertainty related to wood raw material supply as well as the high price of wood have hindered the situation.
Based on the negotiations started in June, UPM has decided to close Leivonmäki sawmill. The operations will cease during 2008.
The sawmill employs some 60 people. UPM is actively seeking the possibilities to relocate the mill personnel to other UPM mills. The sawmill, located in Central Finland, produces spruce sawn timber and its annual production capacity is 80,000 cubic metres and it uses annually some 200,000 cubic metres of spruce logs. Leivonmäki sawmill was founded in 1960. |
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