Finland-based food manufacturer Fazer Group has announced it is in a “severe” situation after starting temporary lay-off negotiations with almost 600 employees in its home market.

The company plans to temporarily lay-off 597 ‘shop-in-shop’ bakery employees due to the situation caused by the coronavirus epidemic.

Go deeper with GlobalData

Premium Insights

The gold standard of business intelligence.

Find out more

Related Company Profiles

View all

Markus Hellström, managing director of the company’s Fazer Bakery Finland division, said: “Consumers’ purchasing behaviour has changed with the coronavirus epidemic. Packed bread sells well, but the sales of pick ‘n’ mix products and hand-baked, paper-bagged bread are decreasing in many stores. 

“We believe the change in purchasing behaviour is temporary and caused by these exceptional circumstances.

“The situation is severe for our business and may continue for several months.”

See Also:

Hellström said Fazer is offering affected staff the possibility of using their annual leave and other paid leave and trying to find them temporary work at Fazer’s other units. 

How well do you really know your competitors?

Access the most comprehensive Company Profiles on the market, powered by GlobalData. Save hours of research. Gain competitive edge.

Company Profile – free sample

Thank you!

Your download email will arrive shortly

Not ready to buy yet? Download a free sample

We are confident about the unique quality of our Company Profiles. However, we want you to make the most beneficial decision for your business, so we offer a free sample that you can download by submitting the below form

By GlobalData
Visit our Privacy Policy for more information about our services, how we may use, process and share your personal data, including information of your rights in respect of your personal data and how you can unsubscribe from future marketing communications. Our services are intended for corporate subscribers and you warrant that the email address submitted is your corporate email address.

The shop-in-shop bakeries are identified by the name Fazer Leipurit. They are located inside grocery stores as separate bakeries. Fazer currently has 92 in-shop bakeries around Finland employing approximately 600 people. 

The company announced earlier this month it had started negotiations with some staff in its retail business unit (Fazer Cafés and Gateau bakery shops) and its Fazer Experience visitor centre over temporary lay-offs as a result of the Covid-19 outbreak. Some 400 employees were expected to be affected by that move.

Ulrika Romantschuk, Fazer Group’s EVP for communications and branding, said at the time: “The situation is very serious and may go on for months. We are doing our utmost to ensure business continuity. We are adapting our assortment and services according to the falling number of customers, and we are also prepared to close units.”