Talks with staff reps done, the countdown is now on to the closure of UPM’s Plattling mill as the company – which has annual sales of 11.7 billion Euros (A$19.64 billion) – bids to “align graphic paper capacity to customer demand”.

Following completion of the participation process with employee representatives, the German mill will cease its production at latest by the end of November.

Some 401 UPM employees are affected and UPM says graphic paper production on the PM11 and 22 machines is expected to end on November 15 and 22 respectively, reducing coated and uncoated publication paper capacity in Europe by 595,000 tonnes.

General manager Gerhard Mayer says UPM entered into “a fair dialogue” with the workers’ council in a bid to craft responsible solutions for employees. “Thanks to the considerate and collaborative attitude of all parties involved during the consultations, socially acceptable solutions were achieved with a clear focus on possible follow-up employment, ultimately mitigating the impact of the closure for our employees,” he said.

Financial impact estimate of the mill closure remains materially the same as that announced in July.

Photo UPM/Anja Wechsler