Valio has confirmed the number of operations and head office jobs it plans to cut, moves that have come in part to Russia's embargo on dairy products from the EU.
The Finland-based company announced in April it had started talks with staff over the plans. It was mulling cutting 320 positions. On Thursday (4 June), Valio said its "personnel capacity would be reduced by a total of 326.5 man-years".
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Of the cuts, 182 will come from permanent jobs, 74 will be from the end of fixed-term employment contracts and 45 are in the form of retirements or "pension arrangements".
"Valio has to adjust its costs to correspond to the current operating environment as well as to changes that have taken place in production types and volumes," the company said.
When Valio announced in April it was looking at cutting jobs, the group outlined how Moscow's ban on EU dairy products had affected its business.
"Most of the milk that was previously exported to Russia is now processed into milk powder and industrial butter for the global market, and their profitability is of a completely different order to consumer products exported to Russia. Exports to Russia are still under embargo and uncertainty there is expected to continue for a long time," Mika Koskinen, Valio's executive vice president of operations, explained.
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