Fazer says it will soon begin negotiations over layoffs and temporary layoffs at its factory in Vantaa, Finland.
The company says demand for some of its confectionery products, including praline and specialty products, has declined as a result of the COVID-19 pandemic and the accompanying standstill of the international travel retail business.
Fazer will start collaboration negotiations concerning 120 employees. If implemented, the plans are expected to affect personnel in different ways. Temporary layoffs are planned for a maximum of 90 days per employee during the current year. The plans may lead to the termination of a maximum of nine employments.
Negotiations are set to begin March 2 at the earliest, and they will be completed within a two-week period. If the negotiations should lead to redundancies, Fazer says it will support those who are terminated by working with local employment administrations.
Fazer also announced it will stop producing the Dumle chocolate-covered pop next month as it phases out the failing production equipment used to make it.
“We have tried to find a solution to continue the production in an efficient and sustainable way, but unfortunately that is no longer possible,” says Anne Repo, marketing director, Fazer Confectionery Finland. “We have reached the conclusion that no viable alternative to the proposed production line has been identified. The craftsmanship, as well as the recipe, is as unique as the lollipop itself and therefore hard to replace with today’s modern technology.”
Fazer says it is working on a solution to produce a new version of the Dumle lollipop in the future.