Widespread strike action grips Finnish paper mills

Workers have thrown down their tools between Monday and today in Stora Enso and UPM mills across the country, with the paper manufacturers standing to lose $14.9 million and $18.5 million respectively. Stora Enso has claimed the action is likely to result in 33,000 tonnes of lost production.

The industrial action is in response to the announcement from UPM last week that it will shut down three mills and lay off at least 2,500 workers across Finland as part of a previously revealed cost-cutting exercise.

The UPM program was initially revealed in March, with the company planning on shedding as many as 3,600 jobs worldwide by 2008, more than 10 percent of its work force, in a bid to save $240 million annually.

The latest strike action follows last year's massive seven-week labour campaign that saw thousands of workers strike and lockouts from employers. The process cost Finland around $2.5 million in lost revenue.