State-owned mining and multi-metal company Terrafame has decided to bring the company’s battery chemicals plant to a halt for a temporary period, said the company in a press release on Friday.
The company took the decision following a challenging business environment
Terrafame initiated change negotiations concerning the personnel of the battery chemicals plant and other functions closely connected to the plant on production-related and financial grounds.
In addition to possible layoffs, the negotiations will also cover possible temporary changes to job descriptions and working hours.
A total of 120 Terrafame hourly-paid, salaried and senior salaried employees are the scope of the negotiations.
The potential need for layoffs is up to 90 days but the extent and duration of the possible layoffs will depend on the development of battery chemicals market, said the company.
The company, however, estimated that the market situation will continue to be challenging for the rest of 2025.
The company’s business has been unfavourably affected by the slower than estimated progress of the electrification of mobility, especially in Europe, combined with a low market price of nickel used in battery chemicals, as well as a weak US dollar exchange rate, said the company.
“Although our battery chemicals production has been on a good level during the first half of the year, the order book has unfortunately not developed at the same pace, which is why we are now forced to initiate change negotiations. We are currently aligning production with our order book and preparing for a scheduled, extended maintenance shutdown at the battery chemicals plant”, said Seppo Voutilainen, Chief Executive Officer of Terrafame.
The change negotiations will begin on 1 August 2025 and will be conducted in accordance with the Finnish Co-operation Act and the applicable collective agreements, the press release added.
- Terrafame
- Layoff
- Talks
Source: www.dailyfinland.fi
