Covid-19: Fazer to temporarily lay off 597 shop-in-shop bakery workers

Finnish food company Fazer Group has unveiled plans to temporarily lay off shop-in-shop bakeries’ employees over the disruption created by the coronavirus (Covid-19) pandemic.

As part of this initiative, the company has initiated collaboration negotiations with the employees of its entire shop-in-shop bakery business.

Fazer Bakery Finland managing director Markus Hellström said: “Consumers’ purchasing behaviour has changed with the coronavirus epidemic. Packed bread sells well, but the sales of pick ‘n’ mix products and hand-baked, paper-bagged bread are decreasing in many stores. We believe the change in purchasing behaviour is temporary and caused by these exceptional circumstances.

“The situation is severe for our business and may continue for several months. Thus, we are planning on adjusting our operations.

“To minimise the impact of the potential lay-offs on our employees, we are offering our staff the possibility to use their annual leaves and other paid leaves, and we are also trying to find them temporary work at Fazer’s other units.

Fazer currently has 92 shop-in-shop bakeries across Finland.

The company noted that it will begin negotiations with 597 employees working in these bakeries segment in Finland.

Fazer’s shop-in-shop bakeries offer artisan bread made using flour produced at the company’s own mill.

Hellström added: “We will support each and every one of our employees in this exceptional situation and try to find the best possible solution.”

In January, Fazer Group announced its plans to shut its oat manufacturing facility in Kaarina and move its operations to Koria, south-east Finland.

With this move, the company intends to enhance the production efficiency of its Fazer Yosa oat products and support its growth plans.

Fazer Yosa products are part of the Fazer Lifestyle Foods.