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.
Established in 1995, Toom Tekstiil is nowadays one of the biggest producers of home textile products in the Baltic region. The company has 4 factories (in Viljandi, Tallinn, Abja-Paluoja and Maardu) producing quilts, pillows, mattresses, bed-linen, bedcovers and non-woven materials. Approximately 90% of company's products are exported to Germany, Benelux-countries and Scandinavia.
Internal restructuring will move the production of pillows from Tallinn to the factory in Viljandi. In Tallinn only the production of mattresses will be continued. It is believed that the number of employees will be reduced by 100 employees.
It is unclear if the restructuring of the production will include official collective dismissal or not. While it seems certain that the number of employees will decrease approximately by 100, the head of Toom Tekstiil has said that they havent dismissed anyone and people have been leaving by themselves. However, the actual restructuring process has yet to start.
Eurofound (2006), Toom Tekstiil, Internal restructuring in Estonia, factsheet number 63707, European Restructuring Monitor. Dublin, https://apps.eurofound.europa.eu/restructuring-events/detail/63707.