Tieto Corporation STOCK EXCHANGE RELEASE 7 May 2012, 1.15 pm EET
In March, Tieto announced Group-wide personnel adjustments. In Finland, the related personnel negotiations have now been concluded. Redundancies in Finland will be executed in two phases. The first phase will be started immediately and during the autumn 2012, Tieto will initiate the second phase covering job cuts related to the decisions about the company’s new operating structure.
In the first phase, the company will make a total of 210 redundant by the end of June. In addition, the number of positions will decrease by around 90, including natural attrition and retirements. In the second phase, a maximum of additional 200 job cuts, mainly related to the company’s new operating structure and the target of improving the efficiency of operations, will be completed by early 2013.
The negotiations concluded today in Finland are part of the earlier announced programme aiming to achieve around EUR 50 million in annual savings. The programme includes about 1 300 job cuts of which close to 500 in Finland, close to 300 in Sweden and around 500 in other countries.
“We have set ourselves the target of building an ever more competitive Tieto and laying a strong foundation for the future through profitable operations. Naturally, carrying out such restructuring activities is challenging in the short term. However, with a more competitive cost structure, we will ensure our ability to develop Tieto further and fulfil our commitment to implement our recently launched strategy,” says Lasse Heinonen, CFO.
For further information, please contact:
Ari Karppinen, Executive Vice President, Operations and Managed Services and Transformation Business Line, tel. +358 207 271137, ari.karppinen (at) tieto.com
Lasse Heinonen, CFO, tel. +358 207 266329, lasse.heinonen (at) tieto.com
Mira Iso-Markku, Director, Marketing & Communications, Finland
tel. +358 207 271278, mobile +358 400 416 662, mira.iso-markku (at) tieto.com
NASDAQ OMX Helsinki
NASDAQ OMX Stockholm
Tieto is the leading IT service company in Northern Europe providing IT and product engineering services. Our highly specialized IT solutions and services complemented by a strong technology platform create tangible business benefits for our local and global customers. As a trusted transformation partner, we are close to our customers and understand their unique needs. With about 18 000 experts, we aim to become a leading service integrator creating the best service experience in IT. www.tieto.com