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.
Swedish steel company Ovako will implement cost reductions and internal restructuring resulting in the closure of the rolling mill in Hällefors and 150 redundancies. The reason for the internal restructuring is adaptation to diminishing demand. Negotiations between Ovako and local municipal officials as well as the county agency has been held. Ovako has a total of 500 employees in Hällefors and beyond staff employed at the rolling mill Ovako has staff working with sales, marketing and IT in Hällefors.
The ERM has previously reported on redundancies at Ovako's facilities in Forsbacka and Hofors.
Update 13/6/2016:Ovako has changed their plans and the rolling mill in Hällefors will not be closed. Instead 40 employees will be made redundant and the rolling mill will keep operating. The concern leader Marcus Hedblom states that other ways to strengthen the company's competitiveness have been identified why there is no need to close the rolling mill.
Eurofound (2016), Ovako, Internal restructuring in Sweden, factsheet number 86629, European Restructuring Monitor. Dublin, https://apps.eurofound.europa.eu/restructuring-events/detail/86629.