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Reuters have shut down UPM pulp and paper mills in Finland

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© Reuters. FILE PHOTO: Magazine rolls of paper can be seen at UPM-Kymmene Caucasus, Lappeenranta, Finland, March 9, 2016. Reuters / Jussi Rosendahl

HELSINKI (Reuters) – 3,000 workers in Finland’s UPM forestry group went on strike on Saturday and shut down factories, the company said on Saturday.

The three unions representing paper workers, management workers and electricians had previously warned that they would go on strike if a new agreement on wages and working conditions was not reached by 31 December before the end of the previous agreement.

UPM left collective bargaining a year ago with other forestry employers, saying the industry wants to improve profitability by looking for alternative ways to agree on wages and working conditions.

Although the employees have demanded that UPM sign a work agreement for the entire company, the company has pushed for specific business agreements and signed its plywood and wood divisions.

Employees in UPM’s pulp, paper and biofuels business have said UPM wants to set new terms instead of negotiating, the three unions said.

The strike is set to end on January 22, unless an agreement is reached.

Anderes analyst at Antti Viljakainen told Reuters that UPM could expect the cost to be twice as high as 30 million euros ($ 34 million) caused by a previous strike in 2020.

Stora Enso (OTC 🙂 UPM rivals have signed a company-wide agreement with workers’ unions.

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