Advertisement

PostNord to fire additional 100 staff in Denmark

Ritzau/The Local
Ritzau/The Local - [email protected]
PostNord to fire additional 100 staff in Denmark
PostNord is to let an additional 100 staff go in Denmark, citing increased costs and lower consumer activity. File photo: Henning Bagger/Ritzau Scanpix

Swedish-Danish post company PostNord is to let an additional 100 employees go in Denmark, it said in a statement.

Advertisement

Staff in production and distribution will be affected by the lay-offs, the company said on Wednesday.

The decision comes after 125 staff and managers in the company’s administration were let go in 2022.

Advertisement

Increased costs are the reason for the redundancies, PostNord said.

“Although we still process more packages than we did before the corona pandemic, we are experiencing, as are many others, very high costs which mean we must adapt to the current economic situation,” Peter Kjær Jensen, CEO of PostNord Danmark, said in the statement.

The company cited energy and fuel prices, inflation and declining consumer activity as key factors driving up costs.

In its results for the third quarter of 2022, published in October, PostNord (including its Swedish operations) posted an operating profit of 65 million Swedish kronor.

But the Danish side of the business alone made a loss of 70 million Swedish kronor, around 46.5 million Danish kroner.

The was said to be due to a drop in the amount of post and packages handled by the company.

Inflation has also increased the pressure on the Danish side of the company, it said in the quarterly result.

PostNord in Denmark had 6,687 staff according to a 2022 company presentation, news wire Ritzai writes.

The entire company, which is jointly Danish and Swedish-owned, has around 28,500 employees.

PostNord was formed in 2009 following partial privatization of Denmark’s national postal service and a merger with its Swedish counterpart through the 1990s and 2000s. It has since struggled, in part due to the dwindling numbers of letters that are now sent. 

READ ALSO: PostNord to continue Danish deliveries until 2023

More

Join the conversation in our comments section below. Share your own views and experience and if you have a question or suggestion for our journalists then email us at [email protected].
Please keep comments civil, constructive and on topic – and make sure to read our terms of use before getting involved.

Please log in to leave a comment.

See Also