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Swedish Forestry Firm Södra Axes 200 Redundant Roles
Yahoo Finance· 2025-10-09 18:35
Core Insights - Södra, Sweden's largest forest industry group, has announced the elimination of 200 positions due to restructuring in response to global uncertainty affecting demand and pricing [1][2] - The company cited rapid currency fluctuations, geopolitical uncertainty, and an imbalance between raw material prices and product sales prices as factors negatively impacting profitability [1] Company Actions - The redundancy notices will affect all three of Södra's pulp mills located in Mönsterås, Mörrum, and Värö, as well as its corporate office in Växjö [2] - Södra's president and CEO, Lotta Lyrå, emphasized the need for decisive action to strengthen the company's long-term position while ensuring support for affected employees during the transition [3] Strategic Focus - Södra aims to continue investing in its operations and developing its offerings to provide competitive prices for forest raw materials supplied by its members [3] - The cooperative's mission includes renewing and refining the value of the forest estate, requiring competitiveness across the entire value chain and operations [4] Collaboration and Innovation - Södra has been collaborating with Lenzing since 2011 to develop wood-based textile pulp, with a recent focus on integrating textile recycling into their partnership [5][6] - The partnership aims to produce up to 60,000 tons of product made with 50% recycled cotton and 50% wood pulp, highlighting the importance of sustainable practices in the industry [5]