Veikkaus Reduces Workforce, Parts Ways with up to 190 Workers

Citing decreased business volumes, Finnish state-run gambling operator Veikkaus announced that it will reduce its workforce. The company said today that it will be letting go of as many as 190 employees.

Veikkaus to Lay Off Employees, Change Employment for Some Workers

It was back in November of last year when Veikkaus, the gambling monopoly in Finland was forced to shut multiple venues due to the ongoing COVID-19 pandemic. Then, in December, the company said that it plans to introduce temporary furloughs instead of laying off workers. Then, in August this year, talks about redundancies arose in light of the significant decline in physical sales.

Now, Veikkaus announced that it will part ways with approximately 125 to 190 workers. The company acknowledged that one of the main factors for the redundancies is the decrease of physical sales channels, which plummeted by 40%. Due to this, Veikkaus said that it needs to “adjust its operations accordingly.”

Veikkaus revealed that overall 830 people were involved in the negotiations that were completed today. The company discussed the future development with its employees but also collected suggestions. According to Veikkaus, the exact number of employees will vary between 125 and 190 mainly because there are still employees to accept new job positions and titles. Additionally, some employees were offered to complete internal transfers.

Besides reducing its workforce, the company revealed that the employment for approximately 160 employees “will change significantly.” Veikkaus said that this change will be the result of a new organization which is expected to be in effect no later than January 2022.

The Company Will Generate $17.3 Million by 2024

Veikkaus’ director of channels and sales, Jari Heino, said that the recent changes aim at building a stronger and forward-looking company. At the same time, he acknowledged that Veikkaus’ of the future is going to be modern, efficient, responsible and seeking the support of the Finnish population.

“Our goal is to renew and build a forward-looking, strongly vibrant Veikkaus: a responsible, modern and efficient company with the support of Finns.”

Jari Heino, director of channels and sales, Veikkaus

Ultimately, Veikkaus plans to generate approximately $17.3 million (€15 million) by 2024, by “streamlining operations and adjusting the number of employees.” The operator acknowledged that a significant part of that amount will be contributed by closing approximately 15 gaming halls. Veikkaus vowed to publish more information regarding the gaming halls and the closing times on its official websites when more details are known.