UPM announced that the Paper Workers' Union has terminated its collective agreements with UPM Pulp, UPM Communication Papers, UPM Specialty Papers, UPM Raflatac and UPM Biofuels businesses to expire mid-term on 21 or 22 April 2024, depending on the agreement.
"The Paper Workers' Union's decision to terminate the collective agreements in the middle of the contract period is regrettable. We had hoped that wage increases and productivity improvements could have been discussed constructively without terminating the agreements," said Jyrki Hollmén, Vice President, Labour Markets at UPM. "Our aim is to find mutually beneficial solutions without creating unnecessary insecurity."
According to UPM, its businesses and the Paper Workers' Union have been negotiating for the last two years of the contract period.
In a press statement, UPM said, "So far, the negotiations have focused on the parties' objectives. The business environment has changed significantly since the agreements were signed in 2022. UPM underlines the importance of defining wage increases in relation to mutually agreed productivity improvements."
Hollmén added, "UPM wants to reward good performance. Competitiveness is key to the future of UPM's businesses, and its continued strengthening is in everyone's interest."
UPM said negotiations with the Paper Workers' Union will continue as soon as possible and that the termination of the collective agreements does not mean that the negotiations have ended.
"Ongoing political strikes in Finland, for example at the ports, are not related to the negotiation process between UPM and the Paper Workers' Union. The strikes are very unfortunate and UPM suffers from their collateral effects," the company said.
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