Veikkaus to cut 400 jobs as business shifts online
State-owned operator reorganisation puts more than 65% of its workforce at risk
Finnish operator Veikkaus has confirmed it is looking to cut over 400 jobs, citing structural changes in the retail business which has resulted in a “drastic decrease” in its land-based operations.
The company said it had initiated redundancy discussions with 1,300 members of staff, equivalent to more than 65% of its 2,000-employee workforce, with almost half of those part-time employees working in the Helsinki region.
Although it has initiated discussions with 65% of its employees, the operator said it is planning for the departure of 400 employees.
The aim of the cuts is a reform of the company’s cost structure and more efficient operations to ensure the business can compete in the face of “ever-accelerating digital competition.”
Veikkaus president and CEO Olli Sarekoski added: “Players are increasingly switching over towards the digital channels and, as a result of the structural changes in retail trade, our point-of-sale network has experienced a drastic decrease over the past few years.”
Sarekoski also confirmed that Veikkaus plans to introduce “significant changes” to its points of sale and restaurant table gaming activities.
At present Veikkaus offers 200 online casino games including all its existing retail table games. Online operations account for 42% of the business turnover, with the Veikkaus website receiving 600,000 players every week.