Kährs announced layoffs of 125 workers and reduced capacities in all its European factories as it braces for lower demand for residential flooring in 2023.
“The market is highly affected by increased interest rates and a high inflation, especially in Europe, contributing to a clear drop in market demand from record levels and high orderbooks in 2022,” the company said in a statement.
The layoffs affected 95 blue-collar positions and five white-collar roles, as well as 25 temporary employees at the company’s Swedish production site in Nybro.
"It is always extremely sad to have to part from good and loyal employees,” stated Carl-Henrik Stenermark, COO at Kährs Group and site manager in Nybro. “But we must adapt our production to the prevailing conditions to be a sustainable and profitable business over time. We will work to find good solutions together with our union negotiating partners.”
