Lappeenranta (News release) - UPM Fibres business area begins consultations with employee representatives at the Kaukas pulp mill, sawmill and wood reception to prepare for possible temporary production adjustment to address the market situation. As the raw material streams of the Kaukas pulp mill and sawmill are closely linked, also the sawmill prepares to adjust production.

UPM Fibres prepares to temporary layoff personnel of the Kaukas pulp mill, sawmill and wood reception for a fixed term period. The possible temporary layoffs could take place in several periods and would last a maximum of 90 days. The total number of employees covered by the employee consultations is approximately 370.

Temporary adjustment of pulp production and possible temporary layoffs could possibly take place in the second half of the year during the planned maintenance shutdown.

Decisions on possible temporary layoffs will be taken after the consultations have been concluded.

Previously UPM announced in its release from 11 May that it lowers UPM's outlook for 2023 due to slower recovery of deliveries in most businesses and rapid fall in pulp prices. Earlier in 2023 UPM has had employee consultations on temporary layoffs in UPM Communication Papers, UPM Specialty Papers and UPM Plywood Business Areas.