Södra cuts 200 positions across Sweden in company-wide restructuring



Södra cuts 200 positions across Sweden in company-wide restructuring | Sodra, closure,

To navigate a challenging global landscape and be better prepared for the future, Södra has initiated an action programme. The aim is to strengthen Södra's long-term competitiveness through improved profitability and new ways of working. The planned actions will affect the entire organisation and result in 200 redundancies.

Global uncertainty is significantly impacting both demand and pricing for Södra's products. Rapid currency fluctuations, geopolitical uncertainty and imbalance between raw material prices and the sales prices of our products are negatively impacting our profitability. The overall financial impact requires decisive action, which is why Södra has launched this programme.

The programme affects the entire organisation and includes a redundancy notice for 200 roles across Mönsterås, Mörrum, Värö and Växjö. A process of union negotiations has begun with relevant parties, covering both operational and administrative personnel. The programme aims to limit the negative impact on profitability and strengthen our long-term resilience. We are doing this through clear prioritisation, increased cost awareness and decisive steps forward. Ongoing work with health and safety is part of the programme, as are new and adapted ways of working and an accelerated pace in digitalisation and AI as key enablers. We are choosing to concentrate our efforts in all areas we can influence.

"We are in a situation that requires decisive action to strengthen our long-term position. We recognise that this decision affects both people and operations, and we take responsibility to ensure the changes are made with the greatest possible care. During the process, we will offer support to affected employees," said Lotta Lyrå, President and CEO of Södra.

This programme is essential to ensure we can continue to invest, develop our offering and provide competitive prices for the forest raw materials supplied by the members of Södra. Forest products are a crucial part of the green transition, which is why Södra's strategy remains firm - to make more from every tree. We remain focused on meeting our customers' needs, where long-term relationships and trust form the foundation of our business.

"Our mission is to renew and refine the value of the forest estate, and that requires us to be competitive across our entire value chain and operations, regardless of external conditions. To succeed, we need to both accelerate and decelerate: continue investing in the future, while also adapting our operations to new realities," Lotta Lyrå concluded.

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