Type
Internal restructuring
Country
Norway
Region
Norge;
Location of affected unit(s)
Stranda, Fetsund, Hareid, Sykkylven
Sector
Manufacturing
Manufacturing Of Furniture And Other Manufacturing
Manufacture Of Furniture
31 - Manufacture of furniture

180 - 260 jobs
Number of planned job losses
Job loss
Announcement Date
23 January 2009
Employment effect (start)
1 February 2009
Foreseen end date

Description

Ekornes, a Norwegian furniture company, has announced that it is to cut 180 jobs due to the considerable decline of orders. In addition around 80 will receive temporary lay-off notices.

As a temporary countermeasure all employees have from the beginning of December 2008 worked 4-days week, but early in January the management announced its job reduction plan.

The job cuts will affect all seven factories, of which six are located in Møre region. One factory (Stranda) with 74 employees will be closed down, and the production moved to Hareid. Another 18-20 jobs will be lost at the factory at Fetsund. No further details are given on the exact timeline.

There is a disagreement between the union and the company about who should be dismissed. The company has announced that it treats each subsidiary as a separate legal entity, while the unions disagree whether to accept this or to demand to follow seniority in the group as a whole. This dispute may end up in court.


Sources

  • 21 January 2009: Fri fagbevegelse
  • 9 January 2009: NRK Møre og Romsdal
  • 8 January 2009: NRK Møre og Romsdal
  • 24 January 2009: Adresseavisen

Citation

Eurofound (2009), Ekornes, Internal restructuring in Norway, factsheet number 67949, European Restructuring Monitor. Dublin, https://restructuringeventsprod.azurewebsites.net/restructuring-events/detail/67949.