Type
Internal restructuring
Country
Finland
Region
Manner-Suomi;
Location of affected unit(s)
Sector
Information / Communication
Computer Programming, Consultancy And Related Activities
Computer Programming, Consultancy And Related Activities
62.01 - Computer programming activities

215 jobs
Number of planned job losses
Job loss
Announcement Date
17 August 2016
Employment effect (start)
Foreseen end date

Description

The IT consulting company CGI Finland is initiating employer-employee negotiations with the intention of reducing up to 240 employees. The dismissals are motivated by tightening competition, digitalisation, changing client demands and the weak growth of the Finnish IT service market necessitating lower costs and a reform of the service production. The company has also decreased subcontracting and is carrying out a cost savings programme.

The negotiations concern all of the company's 3,200 employees in Finland, as well as the employees of CGI Finland's associated company eFennia. There are a total of 17 offices around the country, of which the Helsinki office with its 1,400 employees is the largest. It is not yet known where the job reductions will be directed, but the company aims at keeping all the offices open.

Updated, 10/10/2016;Following the conclusion of the employer-employee negotiations, it was announced on 30 September 2016 that 215 employees will be made redundant at CGI Finland. The amount of redundancies were reduced by identifying retraining and supplementary training opportunities within the company. Additionally fewer pensions schemes than anticipated will be put into effect. 


Sources

  • 17 August 2016: YLE
  • 17 August 2016: Company press release
  • 30 September 2016: Taloussanomat
  • : (www.iltasanomat.fi)

Citation

Eurofound (2016), CGI Finland, Internal restructuring in Finland, factsheet number 88384, European Restructuring Monitor. Dublin, https://restructuringeventsprod.azurewebsites.net/restructuring-events/detail/88384.