Marimekko Downsizing Staff, But Will Stay In Finland
Marimekko's CEO Mika Ihamuotila says that the company, an icon of Finnish design, will continue to maintain production facilities in the country. On Thursday Marimekko began talks with staff on job cuts that Ihamuotila says will ensure production remains in Finland.
Marimekko has a textile printing plant in Helsinki, a clothing factory in Kitee and a bag manufacturing plant at Sulkava. All the company's own in-house production takes place in Finland, but the proportion of subcontracting has grown rapidly in recent years. Just under half of all Marimekko branded products are produced at the company's own plants.
Talks which opened with staff on Thursday are aimed at cutting 35 jobs.
"This is the last company in the sector to go into this, so the start of talks on reductions was expected. We want to ensure the continuation of production in Finland, and without these measures that might not be possible," said Ihamuotila.
Marimekko's result for the first six months of this year was 0.8 million euros, as compared to 3.2 million euros for the first half of 2008.
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