Stora Enso lays off 140 employees in Skoghall and Grums
Forestry giant Stora Enso is laying off 140 employees at its factories in Skoghall and Grums in Värmland. The reason is the closure of a carton production line due to a weak market situation. The notice is being submitted to the Employment Service today.
Stora Enso, one of the world's leading forestry companies, announced on Wednesday that it is laying off 140 employees at its facilities in Skoghall and Grums in Värmland. The notice affects 100 people in Skoghall and 40 in Grums, and it is being submitted to the Employment Service on October 25, 2023.
The background to the cuts is a weak market situation in the packaging industry. According to the company, a production line for carton manufacturing is being shut down, impacting daily operations. "This is a very difficult decision, but necessary to adapt to the current demand," says Hans Svedberg, site manager at Stora Enso in Skoghall, in a comment to SVT.
Local unions express concern for the affected families. "It is devastating for the employees and their loved ones. We will support our members through the process," states a representative from Unionen at the factory. Stora Enso emphasizes efforts to minimize impacts through relocations and support measures.
Skoghall and Grums are key locations for Stora Enso in Värmland, with a long history of paper and packaging production. The closure is expected to occur gradually over the coming months, with full effect from the beginning of 2024. Local politicians have reacted, calling it a blow to the region's economy, but no further details on municipal support measures are mentioned at this time.