Kesla’s Renewal: Negotiations and Adaptation in the Forest Machine Part Industry

Kesla initiates discussions on change

Kesla, a manufacturer of forest machine parts, has initiated negotiations with the aim of enhancing its organizational structure. This involves not only the number of personnel but also job descriptions. The negotiations involve the entire staff, with an estimated need to adjust around 30 percent of the costs associated with the workforce. The company foresees potential dismissals of up to twenty-five people or pension arrangements, as well as the possibility of shorter or indefinite layoffs as part of the adaptation process.

The change negotiations are aimed at aligning the organization with the company’s strategic goals and current capacity needs. Kesla’s CEO, Ilkka Miettinen, cited a decline in the value of orders compared to the previous year and uncertainty in demand for the future as reasons for the negotiations. In September 2023, Kesla announced a new strategy focused on significant growth and improved profitability, necessitating a renewal of the organizational structure and the introduction of new operating models and methods.

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