Dozens of jobs threatened as Stockmann begins codetermination talks

The company wants to achieve annual savings of about four million euros.

File photo of a Stockmann department store outlet in the city of Espoo. Image: Henrietta Hassinen / Yle

Iconic Finnish department store Stockmann has announced the beginning of codetermination talks aimed at cutting up to 60 jobs.

The negotiations will affect the working times and conditions of a total of 210 employees in Finland, according to a report by news agency STT.

"The goal is to streamline processes by eliminating duplication between operations and between different countries and by lowering the hierarchy, which will speed up and improve our service and reduce fixed costs," Stockmann's Chief Transformation Officer Mikko Huttunen said in a company press release.

A planned operating model reform will affect the entire staff of the Stockmann department store division in all three operating countries — Finland, Estonia and Latvia — and the effects of the reform will extend to all operating countries when implemented, the company added.

Codetermination talks are scheduled to begin on Friday, with the company planning to implement the agreed measures during the first quarter of next year as it seeks to achieve annual savings of almost four million euros.

Stockmann's department store division employs a total of more than 1,700 people, of whom 1,120 work in Finland, 366 in Estonia and 249 in Latvia.

The entire Stockmann Group employs more than 5,900 people in 19 countries.