Finnish stainless steel manufacturer Outokumpu will downsize its workforce by about 250 workers in Finland, following completion of co-determination talks with employee representatives, the company announced on Tuesday.
Negotiations also concluded in German and Sweden, where redundancies of 230 and 170 respectively are planned.
The company, which is the largest producer of stainless steel in Europe and the second largest producer in the Americas, has plans to cut its workforce by one thousand by the end of next year, which will reduce the firm's headcount to less than nine thousand in 2022.
Outokumpu said that due to the coronavirus crisis, there was a difficult market situation as well as pressure on European imports, and that it was trying to reduce its fixed costs, of which personnel costs account for a significant portion.
The staff cuts were expected to generate a total annual savings of around 70 million euros, 60 million of which are direct personnel costs, the firm said in a statement.
The layoffs in Finland have already begun, according to the firm.