Restructuring events
European Restructuring Monitor (ERM)
The restructuring events database contains factsheets with data on large-scale restructuring events reported in the principal national media and company websites in each EU Member State. This database was created in 2002.
The forest industry company has initiated cooperation negotiations due to closure plans of the Kaukaa paper mill in Lappeenranta, Finland. The affects the whole staff of 220 employees at the Kaukaa mill, out of which 188 are blue-collar and 32 white-collar workers.
According to UPM, the main purpose of the cooperation negotiations is to find new positions for the Kaukaa mill staff at the company’s other locations. Retirement schemes are also being discussed. According to the shop steward at the Kaukaa Mill, the timing of the closure announcement has come at a surprise even though the staff is well informed about the falling demand for paper globally. The previous cooperation negotiations took place as recently as spring 2025 UPM 2025 - FI
The final decision regarding the closure will take place in October, 2025 to come into effect at the end of 2025.
UPM is a Finnish forest industry company with operations in 12 countries and around 15,800 employees worldwide.
Eurofound (2025), UPM, Closure in Finland, factsheet number 203122, European Restructuring Monitor. Dublin, https://apps.eurofound.europa.eu/restructuring-events/detail/203122.