Glaston communicated in its half-year financial report published in August 2023, that during the first half of 2023, signs of increasing market uncertainty and more cautious customer behaviour were visible.
Due to the slowdown in the architectural market, the demand environment was expected to be softer in Europe and China during the rest of the year, while demand prospects are better in the Americas. The Heat Treatment segment’s order intake, including machine orders and upgrade products, was lower than the previous year in the early part of this year. Despite the softer markets, demand continues to be supported by the strong mega-trends driving interest in energy-efficient glass solutions, especially for insulating glass solutions.
Glaston is planning to adapt its operations to reflect the prevailing market situation. Therefore Glaston will initiate co-operation negotiations concerning all operations in Finland in order to deal with the planned adjustment measures.
The planned reorganization of operations concerns possible terminations of employment contracts and temporary lay-offs if the development of the market situation so requires. Glaston estimates that the negotiations could lead to the termination of less than 10 employment contracts. The scope of the negotiations includes the entire personnel in Finland. At the end of June 2023, Glaston Group employed a total of 817 people, of which approximately 220 in Finland. Most of the personnel in Finland belong to the Heat Treatment segment.