Location of affected unit(s)
Kaukas and Jämsä
Manufacture Of Wood And Paper Materials
Manufacture Of Paper And Paper Products
17.12 - Manufacture of paper and paperboard

252 jobs
Number of planned job losses
Job loss
Announcement Date
14 November 2014
Employment effect (start)
Foreseen end date
31 March 2015


Forestry company and paper manufacturer UPM has announced plans to close two production facilities in Kaukas and Jämsä, Finland, making 250 people redundant. The closures are due to a declining demand for paper products as newspaper sales are declining in favour of digital services. The reductions in Finland are part of a larger, group wide, restructuring program which also affects sites in the UK and France. The reason behind the closures in Finland is cited as the inflexible labour market of the country which raises costs and drives away production. 

Update, 21-02-2015: UPM has finished the negotiations concerning the employees at the Kaukas and Jämsä plants. In Jämsä 138 employees will lose their jobs, and in Kaukas 114 positions will be made redundant. The plants are planned to close down in march. The total loss of jobs in Finland amounts to 252. 


  • 14 November 2014: Helsingin Sanomat
  • 20 January 2015: Yle Uutiset
  • 20 January 2015: UPM (press release)


Eurofound (2014), UPM, Closure in Finland, factsheet number 77903, European Restructuring Monitor. Dublin, https://restructuringeventsprod.azurewebsites.net/restructuring-events/detail/77903.