Sanctions The escape of Western companies from Russia would probably leave hundreds of thousands of Russians without work – How the complete exodus of Finnish companies would be reflected in the country’s employment

Numerous Western companies have said they are withdrawing from Russia, at least temporarily.

Russian The war in Ukraine may soon be reflected in the Russian labor market.

Numerous Western companies have said they are withdrawing from Russia, at least temporarily. If the plans materialize, the withdrawals will soon lead to major redundancies as well.

For example, the interior design chain Ikea alone employs almost 15,000 people in the country.

The clothing retail chain H&M said last week it would close more than 150 stores in Russia. According to its annual report, the chain employed about 3,500 people in Russia in 2020.

American oil giant ExxonMobil also said it was withdrawing from Russia last week. The company has more than 1,000 employees in Russia.

HS: n an extensive story on the depths of Russia’s economic collapse, published on Sunday, estimated that hundreds of thousands of Russians are likely to lose their jobs as a result of the escape of Western companies. Russia has more than 70 million employees.

Read more: Russia’s economy is now being severely tightened: “The outlook is very bleak,” says the economist

The withdrawal of Ikea, H&M and Exxon from Russia alone could leave almost 20,000 people without jobs in Russia.

It is still difficult to accurately assess the job losses caused by the withdrawal of foreign companies, as the withdrawal of Western companies from the Russian market may not be a hotbed.

Read more: Many Western companies want to withdraw from Russia, but Russia has made it really difficult – according to the expert, Finnish companies now have three options in practice

The withdrawal of Finnish companies will also have an effect. HS mapped out the employment effects of the withdrawal of Finnish companies. The list may not be exhaustive, but it gives a scale of how many people Finnish companies have offered jobs to in Russia.

Fazer

Fazer said it was withdrawing from Russia on Sunday. The company has operated a bakery business in Moscow and St. Petersburg and employed a total of about 2,300 people. Last year, net sales in Russia were approximately EUR 157 million, or 13 percent of the Group’s net sales.

YIT

YIT suspends land acquisitions and housing starts in Russia. In 2021, the net sales of the Housing Russia segment were EUR 204 million. It corresponds to about 7 percent of the YIT Group’s net sales. The Housing Russia segment employed about 1,500 people.

Stora Enso

Forest company Stora Enso said on Wednesday, March 2, that it will suspend all production and sales in Russia. The company has three corrugated packaging plants and two sawmills in Russia, which employ a total of about 1,100 people.

S Group

SOK has decided to divest its business in Russia. SOK has 16 Prisma and three Sokos Hotels in St. Petersburg and a total of about 1,000 employees.

UPM

Forest company UPM has said it will suspend deliveries to Russia. The Chudovon plywood factory near St. Petersburg is still operating normally. UPM employs 8,00 people in Russia. In 2021, Ukraine and Russia accounted for about 2 percent of UPM’s net sales.

Machine

As of March 3, the machine temporarily suspended deliveries to Russia. The elevator and escalator manufacturer has also stopped signing new order contracts in Russia for the time being. Last year, the machine’s turnover was EUR 10.5 billion. According to the company, Kone’s share of global net sales is less than one percent. It has about 650 employees in Russia.

Ponsse

For the time being, the listed company Ponsse will suspend all export operations to Russia and Belarus. The suspension of exports applies to both forest machines and their spare parts. According to the company, sales in Russia and Belarus account for about 20 percent of Ponsse’s net sales.

At the same time, the spare parts and maintenance operations of the Ponsse Group’s Russian subsidiary OOO Ponsse will be suspended for the time being. OOO Ponsse’s operations employ a total of 650 people.

Champion

Valio has one processed cheese factory near Moscow and contract manufacturing partners as well as sales offices in St. Petersburg and Moscow. Valio employs about 400 people in Russia. The annual turnover of Valio’s Russian operations has been approximately EUR 85 million. The shutdown of businesses will begin immediately. Valio has also stopped all exports from Finland to Russia and Belarus. At the same time, imports of raw materials and packaging materials from Russia to Finland were stopped.

Paulig

Food company Paulig says it is withdrawing from its business in Russia. According to the company, the withdrawal is planned taking into account Paulig’s employees, customers and local legislation. Russia and the surrounding countries account for about 5 percent of Paulig’s net sales. Paulig has about 200 employees in Russia.

Tieto-Evry

Information technology company Tieto-Evry closes its business in Russia. The company has about 100 employees in Moscow and St. Petersburg.

Fiskars

The consumer product company Fiskars Group announced the divestment of all its business in Russia. The decision will not have a material impact on the company’s financial position or results. The net sales of the Russian operations have been approximately one percent of the Group’s total net sales.

Fiskars has already stopped exporting its products to Russia. The company has operated locally, mainly through its Fiskars brand, and has employed about 70 people in Moscow and the St. Petersburg area.

Fortum

The state-owned energy company has suspended new investments in Russia. Russian power plants continue to operate. The company has 7,000 employees in Russia.

Hartwall

The soft drink manufacturer gave up sponsorship of the Jokerie Ice Rink.

Lappset Group

The company suspends its exports to Russia.

Raisio

Food company Raisio suspends exports to Russia. The company said on Monday it would begin transformation talks to lay off 30 employees due to a halt in Russian exports.

Kesko

Kesko has decided to stop purchasing Russian products and exporting food to Russia. Kesko withdrew from Russia in both food and hardware stores in 2016–2018. According to the company, Kesko’s purchases from Russia have been very small since then.

Kesko Senukai, a joint venture owned by Kesko together with a Lithuanian partner, operates in the Baltic countries and is a co-owner in the Belarusian hardware store chain. Kesko’s holding in the Belarusian hardware store chain is about 25 percent. For these companies, selection decisions are made locally. As a co-owner, Kesko strives to influence decisions to the best of its ability.

Kemira

Kemira will suspend deliveries to Russia and Belarus for the time being. In 2021, Russia accounted for about 3 percent of Kemira’s net sales.

Alko

At the end of February, Alko suspended sales of Russian alcohol products in its stores and online store.

Nokia

Nokia has suspended deliveries to Russia on its systems.

Metso Outotec

Metso Outotec, a Finnish listed company specializing in the processing of aggregates and minerals, has suspended its deliveries to Russia for the time being. In 2021, sales to Russia accounted for about 10 percent of the company’s sales.

Message

The media and educational materials company will stop acquiring Russian newsprint.

Kaleva Media

Kaleva Media stops buying paper from Russia.

Viking Line

Viking Line leaves Russian trucks ashore.

Tallink-Silja

Tallink-Silja leaves Russian trucks ashore.

Account product

The manufacturer of log buildings, Kontiotuote, will no longer offer or sell items for delivery to Russia.

Anora

The Finnish-Norwegian alcohol company Anora has decided to suspend all sales to Russia.

Tokmanni

Discount store Tokmanni will stop purchasing Teboil products.

Honkarakenne

Honkarakenne, which manufactures log villas, is suspending sales to Russia. In 2021, the Honkarakenne Group’s turnover was EUR 69.7 million, of which exports accounted for 37 per cent.

A-leaves

A-leaves will stop printing in Russia. In June 2019, about 60 percent of A-magazine’s printing volume was in St. Petersburg.

Tradeka

The restaurant company Restel, owned by Tradeka, will leave the businesses of the former Hartwall Arena.

John Deere Forestry

John Deere Forestry, a manufacturer of forestry machinery, has suspended all sales to Russia for the time being. About 20 percent of the company’s exports consist of the Russian market.

#Sanctions #escape #Western #companies #Russia #leave #hundreds #thousands #Russians #work #complete #exodus #Finnish #companies #reflected #countrys #employment

Related Posts

Next Post

Recommended