The furniture group Ekornes in Sykkylven must cut 150 man-years – news Møre og Romsdal – Local news, TV and radio

Acting CEO and CFO Fredrik Ødegård Nilsen writes in a press release that the group must adjust production to reduce costs and improve profitability. Production in Norway must be reduced by up to 150 man-years. This is in addition to the cut of 80 man-years that was implemented from September last year. Acting CEO and CFO Fredrik Ødegård Nilsen Photo: Nils-Atle Sundnes / news In addition, support functions and the head office will be reduced by up to 40 man-years. Ekornes has its head office in Sykkylven in Sunnmøre. It was E24 that first mentioned the downsizing. – Will be demanding Mayor of Sykkylven, Odd Jostein Drotninghaug (Sp) tells news that the situation will be demanding. This is not the first time recently that the cornerstone company in the municipality has had to lay off employees. – It is clear that there are many here who will be affected by the situation and the downsizing that has now been announced. Of course, it is demanding for Sykkylven that so many of us are being subjected to this here. WILL BE DEMANDING: Mayor Odd Jostein Drotninghaug in Sykkylven (Sp) does not hide that the situation will be demanding Photo: Hans-Olav Landsverk / news Drotninghaug says he was warned that a situation like this could arise. – I have received a signal that it has been a demanding time for the furniture companies in general in the area here. We knew that Ekornes had a tough time and were aware that there could be redundancies. Cuts abroad too Ekornes has eight factories around the world. Five in Norway, one in the USA, one in Thailand and one in Lithuania. In Asia, Ekornes will consolidate production in Thailand and wind down the activities in Vietnam. In addition, production capacity will be reduced through layoffs totaling around 700 man-years. In the press release from the company, Ekornes points out that demand increased during the pandemic from 2020 and into 2022. Now it is on its way back to the level before the pandemic. Combined with a general decline in the global economy, this has a negative impact on the furniture manufacturer. The head office of Ekornes is located in Sykkylven Photo: Alf-Jørgen H. Tyssing / news



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