Hundreds of Jobs at Risk in Espoo & Vantaa

HELSINKI – The cities of Espoo and Vantaa have announced major restructuring talks that could lead to hundreds of job losses.

Vantaa is planning to cut around 200 jobs to save 15 million euros. The city has been running a deficit for several years. This year, the deficit is expected to exceed 60 million euros, and next year it could reach 70 million.

Espoo wants to reduce staff by the equivalent of 300 full-time positions, saving about 10 million euros in personnel costs. The city may also use early retirements and voluntary moves to other positions to reduce costs.

The planned cuts have raised questions because Espoo’s finances are currently in surplus. Mayor Kai Mykkänen said the reductions are needed to stop the city’s debt from growing. Espoo is building 20 new schools and daycare centres this year, and the state has also cut funding to municipalities.

Both cities have said that teaching and childcare staff will mostly not be affected.

The negotiations will start in September for Espoo and as early as next week for Vantaa.