Setra Cuts Production and Jobs at Its Sawmill in Hasselfors, Sweden

On Wednesday, Sweden’s Setra Group announced a production adjustment at its Hasselfors sawmill that will result in 50 employees being given notice of termination.

The company said the decision was driven by the continued weakness of the global construction market and economic uncertainty, which has affected its ability to set prices in line with current costs.

The adjustment entails:

• Reducing the organization from 107 to 57 positions, affecting both blue-collar and white-collar employees
• Cutting the production rate to just over half
• Implementing the changes over a four-month period

Commenting on the announcement, Setra Group CEO and Group President Marcus Westdahl said:

“This production adjustment is a necessary step to reduce costs and create conditions for long-term sustainability. We are committed to carrying out the process with a strong focus on our employees, while ensuring that Hasselfors is well-prepared for the future. The situation could change if the timber market shifts rapidly and significantly. Factors such as the economic climate, global conditions, supply, prices, currency fluctuations, and the pace of global construction all interact and influence in various ways.”