City of Savonlinna starts mass lay-off talks 

The city's budget has already been hard hit by the coronavirus pandemic and it needs to furlough up to 560 staff.

File picture of Savonlinna, Finland / Credit: iStock

The city of Savonlinna in Finland’s eastern lakeland region has started talks on lay-offs for municipal workers due to the impact of the coronavirus crisis.

The move affects 560 people, and while a maximum of 50 staff can be switched to part-time jobs, the rest face temporary furloughs for up to 90 days between the 20th May and 22nd August.

“As a matter of priority, we will explore all possibilities for reorganization and other task arrangements. We try to avoid layoffs if the adjustment of operations can only be done by other means” says Savonlinna Mayor Janne Laine.

“In spite of everything, the city’s statutory service production is secured as comprehensively as possible without endangering anyone’s public safety or health” he adds.

The coronavirus pandemic has already increased the expenses of Savonlinna’s social and healthcare services by an estimated €4.6 million; while €6 million could be lost through tax revenues and the city’s operating income is expected to fall by about €1 million.