UPM Plans 1,000 Job Cuts in Finland, Two Paper Mill Closures

Finnish forestry powerhouse UPM-Kymmene is set to announce major restructuring plans on May 6, with leaked reports revealing around 1,000 job cuts and the closure of two paper mills in Finland. The cuts come in response to what the company describes as a structural decline in demand for graphic papers. The company will present its new cost-saving program during a press conference scheduled for Wednesday, May 6, at 10:00 EET. According to sources close to the negotiations, approximately 1,000 positions in Finland will be affected, primarily within UPM's Communication Papers division. The two paper mills expected to close are located in Jämsä and Kouvola, both in Finland. UPM's share price dipped by 2% in Helsinki trading on May 5 as rumors of the layoffs spread. CEO Massimo Reynaudo has pointed to the ongoing, long-term drop in demand for graphic paper products as the driving force behind the restructuring. The move is part of UPM's broader strategy to adapt to shifting market conditions, where digitalization continues to reduce the need for traditional paper. While the exact number of job cuts and specific mill closures are not yet officially confirmed, the leaked details paint a clear picture of the scale of change ahead. The announcement is expected to have implications for Finland's forestry sector and the affected communities in Jämsä and Kouvola.