The restructuring events database contains factsheets with data on large-scale restructuring events reported in the principal national media and company websites in each EU Member State. This database was created in 2002.
Manufacturing Manufacture Of Wood And Paper Materials Manufacture Of Wood And Of Products Of Wood And Cork, Except Furniture; Manufacture Of Articles Of Straw And Plaiting Materials 16 - Manufacture of wood and of products of wood and cork, except furniture; manufacture of articles of straw and plaiting materials
New offshoring locations
Sweden
140 jobs Number of planned job losses
Announcement Date
19 July 2007
Employment effect (start)
1 August 2007
Foreseen end date
Description
Kährs Norge was aquired from Norske Skog in 1999 by the Swedish Kährs group which later merged with Bauwerk and Marty to form flooring firm Nybron Flooring International (NFI). NFI consists of a head office and three business divisions; Bauwerk, Kährs and Marty. NFI’s head office is in St. Gallen in Switzerland and its legal domicile is also in St. Gallen in Switzerland. Kährs has 3 production facilities in Sweden and one in Brumunddal, Norway. The Brumunddal plant makes parquet and wooden floor. On the 19th of July 2007 the Board of Kährs announced that production in Brumunddal will come to an end. Production will be moved to Sweden and the machines will be moved to a new production facility in Romania. The manager of Kährs told the press that the reason behind this need for restructuring is because of competition from China and Eastern Europe. The firm's employees anticipated the outcome of the Board meeting, and 30 employees have already left the company. Nothing official has been said about a likely timeline of the employment effect, but statements to the press indicate that the plant will close soon. Trade unions have attempted to avoid the closing of the plant. Unions met with the Minister of Trade and Industry and engaged an independent consultant to write an alternative report which showed the potential for profit through continued production at Brumunddal.
Sources
21 July 2007: Ringsaker Blad
22 June 2007: Magasinet for fagorganiserte
20 July 2007: Barometern
Citation
Eurofound (2007), Kährs Norge, Offshoring/Delocalisation in Norway, factsheet number 65646, European Restructuring Monitor. Dublin, https://restructuringeventsprod.azurewebsites.net/restructuring-events/detail/65646.
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