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EU grants €1.1 million to paper workers laid off in two regions

Wednesday 21st October 2026 on 15:15 in Finland

employment, European Union, paper industry

The European Union has awarded €1.1 million to help paper-industry workers laid off in South Karelia and the Lohja region find new jobs, Yle reports. Nearly €904,600 of the funding is allocated to South Karelia.

The support is intended for about 350 workers: 258 laid off in South Karelia and 93 from Sappi’s Kirkniemi factory in Lohja. Nearly half of those eligible are over 54.

The money will fund career coaching, vocational training, wage subsidies and support for starting businesses. In South Karelia, artificial intelligence will also be used to map recruitment and skills needs.

The EU will cover 60 per cent of the measures, with the South Karelia and Lohja-Karkkila employment areas paying the remaining 40 per cent. The total budget is €1,837,600.

Economic Affairs Minister Sakari Puisto said training would prepare workers for jobs in areas including maintenance, electrical work and automation, which are needed for energy and data-centre investments in South Karelia. In the Lohja region, machine shops need welders and machinists, he said.

Labour Minister Matias Marttinen said the services could help workers find a new direction and prevent long-term unemployment. The application, submitted by the Ministry of Economic Affairs and Employment, covered staff reductions at UPM, Stora Enso, Metsä Group and Sappi.

The layoffs followed a long-term decline in demand for printing and magazine paper. In South Karelia, the end of Russian timber imports and higher energy costs also worsened the situation.

Source 
(via Yle)