According to foreign media reports, the Finnish paper workers’ Union issued a strike announcement to UPM, announcing a strike on all work under UPM’s expiring collective agreement on paper industry. The strike will start at 6:00 EST on Saturday, January 1, 2022, and the strike at lapenlanta biological refinery will start at 7:00 EST on January 1, 2022. The strike will end at 6:00 EST on January 22, 2022 unless a new collective agreement is reached before that.

UPM said: “if the strike becomes a reality, UPM will try its best to meet the needs of customers through ex factory delivery outside Finland.” UPM will not disclose the financial impact of the possible strike.

UPM has about 10000 subcontractors in Finland, and 12% of the company’s business needs sea transportation. UPM’s subcontractors are mostly small and medium-sized companies, and operation interruption may be a major challenge for them. For example, the strike will immediately affect all kinds of transportation to and from the factory and the work at the seaport. In terms of shipping, the absence of UPM goods will have an impact within a week after the strike. In case of strike, UPM’s wood procurement will be adjusted according to the needs of sawmills and plywood factories.

The last large-scale strike in the Finnish paper industry took place on January 27, 2020, The reason for the strike was due to the Finnish paper industry trade union paperiliitto representing the labor side and the Finnish Forest Industry Federation representing the management side (ffif) has never reached a new labor negotiation agreement. The Finnish pulp and paper industry held a full strike, resulting in the complete paralysis of the industry. The mediator of the Finnish National Mediation Office put forward a mediation proposal to both parties on February 9, and the negotiating parties finally agreed to the proposal.

It is reported that all parties agree that the average salary of employees in the Finnish paper industry will increase by 3.3%. The new collective bargaining agreement is valid from February 10, 2020 to December 31, 2021.