Despite signs of economic improvement, negotiations for changes in the workforce, formerly known as YT negotiations, have slowed down significantly in the spring. Initially, it was anticipated that job losses would be limited to the construction sector, but downsizing has now spread to industry and the service sector as well. Data shows that at least 70 companies are undergoing change negotiations resulting in job reductions, with the actual number likely to be higher.
The slowdown in the economy and the need for companies to improve their operations are leading to job cuts. Preliminary data indicates that Finland’s GDP grew by 0.5% in the first quarter of the year, but compared to a year ago, it decreased by 0.4%. Economists predict that the economy will start to grow at the end of the year, which may lead to a turnaround in the labor market.
One of the companies currently undergoing change negotiations is The Power chain, affecting all of its 880 employees in Finland. CEO Juha-Mikko Saviluoto attributes the reductions to declining profitability in the home electronics industry. Many other companies, including Metso, SSH, Solteq, and Fiskars, have also announced change negotiations due to various reasons including organizational changes
