Type
Internal restructuring
Country
Estonia
Region
Eesti; Lõuna-Eesti;
Location of affected unit(s)
Tallinn (Põhja-Eesti), Viljandi (Lõuna-Eesti)
Sector
Manufacturing
Manufacture Of Material For Textiles, Apparel, Leather And Related Products
Manufacture Of Textiles
13 - Manufacture of textiles

100 jobs
Number of planned job losses
Job loss
Announcement Date
10 June 2006
Employment effect (start)
Foreseen end date

Description

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 haven’t dismissed anyone and people have been leaving by themselves. However, the actual restructuring process has yet to start.


Sources

Citation

Eurofound (2006), Toom Tekstiil, Internal restructuring in Estonia, factsheet number 63707, European Restructuring Monitor. Dublin, https://restructuringeventsprod.azurewebsites.net/restructuring-events/detail/63707.