Arla Foods’ Supervisory Board has approved a decision in principle to shut down the two Swedish cheese dairies, Åseda and Västervik, at the end of 2004. The closures are in accordance with Arla Foods’ structural plan of 2001.
Västervik, which employs a staff of 33, has an annual production of 3,000 tons, spread over several cheese types and its production will be transferred to Falkenberg Dairy. Åseda has 25 employees and an annual production of 1,500 tons firm cheese which will be transferred to Nr. Vium Dairy. The move is expected to lead to a staff increase of 16 at Nr. Vium.
Following the decision, negotiations will now begin with the Swedish unions. The Board is expected to reach the final decision in December which will enable the transfer of production from both dairies to begin in the autumn of 2004.
Wherever possible, staff at the two dairies will be offered work at other Arla plants.
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