Ovako will reduce its workforce by some 200 positions in order to improve efficiency and reduce costs.Notices of redundancy are today being issued to 134 employees at Hofors.Another 70 positions will be eliminated through rationalisation at the group's production sites in Sweden and Finland.
To align the organisation to the current economic situation,Ovako is today issuing notice of redundancy to 134 employees at the production site in Hofors.
Since the autumn of 2011,Ovako has a programme to streamline its operations.This programme is now being intensified,and over the next six months approximately 70 positions will be eliminated through rationalisation.Further initiatives to reduce other costs will also be implemented.All of Ovako's production sites in Sweden and Finland will be affected by the program.
Mr Tom Erixon president and CEO Ovako said that"Our goal is to continue to build a strong and effective organisation.At the same time,we must adjust to the fact that it may be a long time before there is a recovery in the economy."
Annual cost savings from these measures will amount to approximately EUR 10 million.
Ovako's investments and engagements in new markets will continue as planned.