Veikkaus Announces Job Cuts and Closure of Casino Tampere

After concluding negotiations with staff representatives, Operator Veikkaus has announced major personnel cutbacks that would affect around 185-215 people. In addition, between 110 and 150 people would be impacted by changes in employment terms. The operator’s overall restructuring plan includes these actions.

Veikkaus is reorganizing into three functional divisions under the direction of senior vice presidents. Current Chief Operating Officer of Business Operations Nora Vähävirta will be in charge of domestic arcades, slot machines, and games of chance. The executive director and head of domestic online casino and betting operations will be Jarkko Nordlund. Another recent hiring, Jonas Reuter, a former executive at Scientific Games and IGT, will oversee Veikkaus’ global operations.

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Job Cuts Not as Severe as Initial Estimates

Although the reorganization and employment losses are substantial, they are not as bad as first thought. In September, Veikkaus had forewarned of up to 240 job layoffs and modifications for an additional 195 staff when restructuring negotiations started. The final estimates were modified after a fruitful discussion with representatives of the staff.

The “smaller final figures” were the outcome of positive negotiations, according to Executive Vice President of Human Resources Heli Lallukka, who also stated, “We will be making significant investments to strengthen our competitiveness in the coming years.” By year’s end, the precise dates for employment adjustments will be decided.

On December 9, fewer than two years after it opened, Veikkaus also declared the closing of Casino Tampere. 19 gaming arcades will also close on December 22. These include arcades with the Playhouse and Veikkaus brands. Veikkaus is attempting to improve competitiveness and adapt to shifting market conditions through the reorganization.

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The industry will be closely monitoring Veikkaus’s actions as it moves forward with these adjustments to see how the operator adjusts to the changing environment and guarantees long-term, sustainable development.

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