Local agreement concluded at Raute concerning flexibility of working hours - temporary layoffs in production terminated

RAUTE CORPORATION INVESTOR NEWS 29 April 2020 at 3:15 p.m.

LOCAL AGREEMENT CONCLUDED AT RAUTE CONCERNING FLEXIBILITY OF WORKING HOURS – TEMPORARY LAYOFFS IN PRODUCTION TERMINATED
 
Raute has today concluded a local agreement with the blue collar workers at the plant concerning implementation of at most 80 hours’ flexibility in working hours. The agreement is valid for one year.  Additionally has been agreed that white collar employees working in Technology services can be transferred to work in the production while the maintenance work cannot be done because of the travelling and other restrictions caused by the Covid -19 pandemic.

It was also agreed that simultaneously with the above-mentioned agreements coming into force, the temporary layoffs in the production, announced on August 22, 2019, will be terminated on April 30, 2020. The good order book in the production enables termination of the temporary layoffs at least till the end of 2020. Despite the level of the order book, potential problems in the component or material availability may cause need for adaptation. However, we estimate that the agreed 80-hours’ flexibility in working hours is sufficient to cover that kind of fluctuations.

RAUTE CORPORATION
Tapani Kiiski
President and CEO

FURTHER INFORMATION:
Mr. Tapani Kiiski, President and CEO, mobile phone +358 400 814 148
Ms. Tarja Järvinen, Group Vice President, CFO, mobile phone +358 40 658 3562

DISTRIBUTION:
Nasdaq Helsinki Ltd, main media, www.raute.com

RAUTE IN BRIEF:
Raute is a technology and service company that operates worldwide. Raute’s customers are companies operating in the wood products industry that manufacture veneer, plywood, LVL (Laminated Veneer Lumber) and sawn timber. Its technology offering covers the entire production process for veneer, plywood and LVL and special measurement equipment for sawn timber. As a supplier of mill-scale projects, Raute is a global market leader both in the plywood and LVL industries. Additionally, Raute’s full-service concept includes technology services ranging from spare parts deliveries to regular maintenance and equipment modernizations. Raute’s head office is located in the Nastola area of Lahti, Finland. The company’s other production plants are located in Kajaani, Finland, the Vancouver area of Canada, the Shanghai area of China and in Pullman, Washington, USA. Raute’s net sales in 2019 were EUR 151.3 million. The Group’s headcount at the end of 2019 was 778. More information about the company can be found at www.raute.com.