Siili Solutions initiates change negotiations to address the weakened market conditions

Siili Solutions initiates change negotiations to address the weakened market conditions

Siili Solutions Plc Press release 8 August 2023 at 10:35 a.m. 

Siili Group initiates change negotiations in Finland to strengthen the company's competitiveness and efficiency in the weakened market conditions. The negotiations will address various possibilities to adapt operations and the company's cost structure. These include possible structural changes, reorganisation of operations and reduction of personnel costs. The negotiations concern Siili Group's support functions and the Continuous Services business unit, and they cover a total of approximately 80 employees out of a total of over 1,000 employees at Siili. The negotiations are expected to be concluded by the end of September. 

The weakening of the market conditions during the current year has increased uncertainty, which has slowed down the commencement of new projects withing Siili clientele both in Finland as well as internationally. Respectively, the price competition in the market has increased, which makes it more difficult to transfer the inflation-based costs to customer prices. These factors have weakened the company's current year profitability.

"Initiating change negotiations is a tough decision for us, but a necessary step to secure the future of our company and adapting to the changed market situation. We do our utmost to ensure that adapting our operations to the prevailing market conditions does not affect the quality of our services or customer satisfaction. We aim to find as smooth transition as possible for every individual, whose employment relationship may have to be terminated. The market conditions are challenging but Siili will ensure its competitiveness also in the future as a multi-skilled technology house", says CEO Tomi Pienimäki.

According to the preliminary estimate, the change negotiations could result in a reduction of a total of 15 employees in the company's various departments in support functions and Continuous Services -unit. The aim is to minimise the number of possible redundancies by offering relocation option within Siili Group. During the change negotiations, other possibilities to reduce costs and adapt operations will also be carefully considered.

The company communicates openly and responsibly with its employees, partners and markets throughout the negotiation process.

For more information:

Tomi Pienimäki, CEO
Phone: +358 40 834 1399, email: tomi.pienimaki(at)siili.com

Taru Salo, CPO
Phone: +358 50 448 2960, email: taru.salo(at)siili.com

Siili Solutions in brief:

Siili Solutions Plc is a unique combination of a digital agency and a technology powerhouse. We believe in human-centricity in everything we deliver. Siili is the go-to partner for clients seeking growth, efficiency and competitive advantage through digital transformation. Siili has offices in Finland, Germany, Poland, Hungary, the Netherlands, Austria, the United Kingdom and USA. Siili Solutions Plc shares are listed on Nasdaq Helsinki Ltd. Siili has grown profitably since it was founded in 2005. www.siili.com