On Tuesday Finnish banking concern OP Financial Group said it will conduct retrenchment talks in October amid a full corporate restructuring in an aim to cut costs amounting to some 100 million euros.
OP employs some 6,000 workers in its central cooperative. The bank’s release states the coming restructure is meant to cut costs, but also to improve employee and customer experiences while enhancing operational agility and productivity.
Chief shop steward Eija Laurila told Yle that OP is not planning significant layoffs.
The company said the retrenchment talks will not affect Helsinki OP-Kiinteistökeskus, Pohjola Health, OP Bank Group Pension Fund or the OP Corporate Bank Group’s Baltic operations. Additionally, the restructuring will not affect any of the OP Group’s 170-odd cooperative banks.
“Based on the plan, some of the existing jobs will cease to exist or change substantially, but at the same time a significant number of new job opportunities will become available that OP seeks to offer to as many employees as possible,” the OP release reads.
OP’s CEO Timo Ritakallio, who started in March, last autumn called good services the backbone of his organisation. After receiving confused complaints about their other businesses, such as the the company’s electric car leasing service, Ritakallio says OP will refocus its attention on core services.
The retrenchment talks are scheduled to begin on 1 October and it will take at least six weeks to complete the process, according to the bank.
Established in 1902, OP Financial Group is a cooperative financial services group which was “formed by independent cooperative banks and the group’s central cooperative with its subsidiaries operating under the principle of joint and several liability,” according to the bank’s website.
