220 staff lose job as UPM closes Kaukas paper mill
The Finnish forest-based bio-industry company UPM decided to permanently stop paper production at Kaukas, Lappeenranta, said UPM in a press release on Friday.
The employee consultation processes have been completed and 220 employees will lose job as the Paper machine 1 in Kaukas will be closed during Q4.
Following the closure, coated mechanical paper production capacity will be reduced by 300.000 tonnes annually.
“The consultations were conducted in a constructive spirit, focusing on the rationale behind the planned changes, their potential impact, and the comprehensive support available to affected employees. As part of the process, we agreed to implement a from-job-to-job program, which has been UPM’s established model for change support since 2006,” said Matti J. Laaksonen, General Manager, Kaukas and Kymi mills.
“The last few weeks have not been easy for any of us. Even in these difficult times, our skilled team at the Kaukas paper mill has ensured stable operations. We greatly respect that. We have focused on finding solutions for the employees affected, with the clear intention of mitigating the impact of this closure,” Laaksonen added.
Earlier in July 2025, UPM announced plans to permanently end paper production in Kaukas and to shift its coated mechanical paper production in Finland to UPM Rauma mill.
UPM’s pulp, sawn timber and biofuels production and R&D activities at UPM Kaukas integrate will continue as before.
- UPM
- Closes
- Kaukas
- Mill
Source: www.dailyfinland.fi