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HKScan lay-offs to mainly affect Nordic countries

HKScan owns meat packing companies Rakvere and Tallegg.
HKScan owns meat packing companies Rakvere and Tallegg. Source: (Postimees/Scanpix)

The owner of meat packers Rakvere and Tallegg, HKScan, has begun large-scale restructuring and announced that some 160 might lose their jobs. The number of lay-offs in Estonia is expected to be small.

Anne Mere, CEO of HKScan’s Baltic business, told ERR that there would be 23 lay-offs in the Baltic states, 11 of which concerned positions the company was giving up, and 12 were contracts that were about to expire.

“We are talking about white-collar employees, not people working in production,” Mere said, adding that the aim of the efforts was to increase effectiveness and cut costs.

In addition to the three Baltic states, HKScan is also active in Finland, Sweden, and Denmark. In the case of Finland, some 60 stood to lose their jobs, public broadcaster Yle reported.

The company employs some 7,000 people across all of its markets. In the first quarter this year, HKScan reported another loss, at €6.8 million higher than in the first quarter of the previous year, where it lost €4.3 million. The company’s turnover dropped from €439 million to €421 million in 2016.

Editor: Dario Cavegn

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