Swedish Paper Workers Union Negotiates New Agreement, Mills to Restart
April 26, 2010 - A 10-day strike by some 3,000 paper mill workers in Sweden ended today with a new agreement on pay rates, the Swedish Forest Industries Federation said.
With the new labor pact in place, Swedish packaging and specialty paper maker Billerud said that it will restart production at its paper mills Skarblacka and Gruvon. Both mills produce sack and kraft paper, fluting, and market pulp.
Swedish paper and paperboard producer Korsnas also said that it will restart its mills in Gavle and Frovi, and Stora Enso said it will restart production at its Skoghall mill.
A number of other Swedish mills were also affected by the strike.
SFIF spokeswoman Lotta Larson said the new collective agreement was good for 22 months and provided industry workers with a 3.3 percent pay increase.
The Swedish Paper Workers Union on Sunday had turned down a mediators' proposal of average wage increases of 3.2 percent over 22 months.
SFIF said that as of the past weekend, the 10-day strike had cost Sweden's paper industry more than 510 million kronor (53 million euros, USD $70 million), and had the strike been extended, it would have begun costing the industry some 100 million kronor per day.
SOURCE: Billerud and Korsnas