Jøtul transfers part of its production in Poland – 100 employees lose their job in Fredrikstad – NRK Østfold – Local News, TV and Radio

Around 100 people lost their jobs when parts of Jøtul's production in Fredrikstad and its subsidiary Scan in Denmark were transferred to Poland.

Managing Director Nils Agnar Brunborg in Jøtul told NRK that the company would open a new plant of around 20,000 square meters.

"The background is that Jøtul has suffered considerable losses over many years, so we have implemented a number of measures to reduce costs and improve competitiveness, which is of course not a good message to But it is necessary for Jøtul to survive as a society, "he says.

How much money will you save on this?

– I do not want to comment on that.

Brunborg confirms to NRK that the move to Poland will result in the loss of about 100 jobs in Norway and 70 jobs in Denmark.

– People are shocked

Jøtul AS currently employs 280 people at Kråkerøy in Fredrikstad. According to Fredriksstad Blad, everyone was invited to the meeting.

Club manager Arild Johannessen from the Jøtul club in Fredrikstad said the atmosphere at the meeting was quiet and undoubtedly overnight.

"It was very surprising, we will have a meeting of members next Thursday to look at how we can contribute to the membership, but it is dramatic and people are shocked and affected," he says.

Production will continue as usual until 2019, before the new facility is operational from January 2020.

"We will negotiate with the company and we will see if we are able to create new tasks here," said Johannessen.

Is this the worst day in the history of Jøtul in Fredrikstad?

"I've been working here since 1979. It's the day that hits Kråkerøy's employees the most, yes.

Economically worn

The company is economically worn for several years. Last year, the Fredrikstad plant achieved a turnover of 493 million NOK, with an operating profit of 278 million NOK less.

The main reason for this deficit was the depreciation of the company's values.

Earlier in 2018, Jøtul was acquired by its current owner, American OpenGate Capital. According to the E24 website, the price was about 360 million kroner.

Jøtul currently employs 500 people worldwide. More than half of them work in production facilities and at headquarters in Fredrikstad.

In addition, the company has seven subsidiaries in the United States, France, the United Kingdom, Spain, Poland, Denmark and Italy.

Saved from bankruptcy by the Gahr family

Herman Anker founded Jøtul A / S in 1920. The company then served as commercial organization for Kværner Ovenstøperi and three other foundries, according to the book "Rich in traditions: Jøtul 1853-2003".

In 1927, the company was taken over by grandfather Johannes Gahr, grandfather of the App, Jonas Gahr Stores. He initiated an economic recovery and saved the company from bankruptcy. Later, the name Kværner was also deleted.

Under Gahr's leadership, the company has moved from hand ovens to mass production. The special war years have been economically beneficial for the company, which for example has manufactured furnaces to heat the supports built by the Germans.

In 1977, Jøtul was sold to the Norcem family by the Gahr family.

Since 2006, Jøtul has been owned by the Swedish company Ratos, which has entered into an agreement with OpenGate Capital to sell its shares in the Norwegian furnace manufacturer.