Metsä Fibre starts change negotiations on potential temporary lay-offs at Joutseno pulp mill

Metsä Fibre has started change negotiations concerning potential temporary lay-offs at its Joutseno pulp mill in Finland. The negotiations involve the entire personnel of the mill, approximately 160 employees in total.

The decision reflects the continued challenging situation in the pulp market and the need to prepare for a longer period of production adjustment than previously expected. “The pulp market situation remains challenging. Due to the demand outlook and the situation in the wood market, we need to prepare for adjusting pulp production for a longer period than previously anticipated,” said Ismo Nousiainen, CEO of Metsä Fibre. “For this reason, we are now compelled to initiate new change negotiations concerning potential temporary lay-offs at Joutseno.”

The change negotiations are due to begin in week 37. The new process follows earlier measures taken by Metsä Fibre in response to weak pulp market conditions. In March 2026, the company had already announced change negotiations at Joutseno concerning potential temporary lay-offs of up to 90 days, at that time involving approximately 170 employees. The latest negotiations indicate that the company now expects the difficult market environment to continue for longer than initially anticipated.

The Joutseno mill, located in Lappeenranta in south-eastern Finland, produces softwood pulp as its main product. The mill has an annual production capacity of approximately 690,000 tonnes of softwood pulp. The pulp produced at Joutseno is used as a raw material for paperboard, tissue and printing papers, as well as speciality products. In addition to pulp, the mill produces biochemicals and bioenergy.

Metsä Fibre states that the Joutseno mill is highly energy efficient and generates more bioenergy than it consumes. The mill has an electricity self-sufficiency rate of approximately 180% and supplies surplus electricity to the grid. The company also highlights the role of the Joutseno mill as an important employer in south-eastern Finland, both directly and through partner companies operating at the site.