Business Mogul Announces Layoffs Ahead of Dairy Company Move
Oliver Kruuda, owner of the dairy enterprise Tere, has said he will move his company’s production out of Tallinn by the end of year.
With layoffs ahead in Tallinn, the production will be taken over by already existing factories in Viljandi and Põlva, Maaleht reported.
According to Kruuda, the rent of facilities in downtown Tallinn is very expensive, while the space is scarce. “On better days we sent out up to 250 tons of production, which makes up 200 grams per Estonian resident,” he said, adding that currently the company has just four old rented warehouses in Tallinn and lacks a decent space for its packaging line.
In addition, the logistics and warehousing in Tallinn face a number of issues, he said.
In three to five years, Kruuda is planning to build a large dairy factory in the town of Paide in Järva County.
Last week, the Unemployment Insurance Fund received notice that Tere is planning to lay off over 100 workers by the end of August, employed in Tallinn, but also in Viljandi and Põlva.
Ingrid Teesalu