Stora Enso Announced Layoff at Paper and Pulp Mill

SEATTLE (Scrap Monster): Stora Enso has announced completion of negotiations with labour union in connection with the closure of the pulp and paper mill in Kvarnsveden mill in central Sweden.

According to company press release, a total of 340 employees will be laid off permanently. Nearly one-fourth of the redundancies will be managed through pension arrangements. Meantime, around 100 people have reportedly found new jobs, either within Stora Enso or with an external employer. The redundancies are likely to take effect during the month of November this year.

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In accordance with the negotiation deal, pulp and paper production will be closed permanently with effect from 30 September 2021. The customer service centre will be closed by 31 December 2021. Meantime, the power plant will continue to operate, with limited functionalities, it said.

Stora Enso has offered re-training and relocation support for people who transfer to other locations. Those who wish to start up their own companies will be offered financial support. It also plans to organize recruitment fairs in support of the affected employees.

The company has commenced a project, in coordination with the City of Borlänge and other regional and national stakeholders, to explore future options for the Kvarnsveden mill site.