Closing of the dairy factories of Arla in Hjørring and Klovborg, Denmark, is now officially announced. DKK 45,000 will be paid per employee for training and retention.
Arla's board has confirmed that the dairy factories in Hjørring in North Jutland and Klovborg in Mid Jutland, both Denmark, are to be closed. Production is moved to Taulov, Denmark, which is expected to accommodate 43 new employees.
In return, 37 employees are losing their jobs when Klovborg is closed by the end of March this year, while 106 are sacked from the dairy in Hjørring which Arla expects to close by mid-2013. So this means a loss of 100 employees at Arla in Denmark.
Closing of the two dairies was announced in April last year. In the same week as Arla permanently closed its dairy factory in Hirtshals, also North Jutland. So for Northern Denmark it is an additional setback that Hjørring is closed so shortly after production stopped in Hirtshals.
DKK 45,000 compensation per employee
North Jutland is a so-called fringe area in Denmark, and unfortunately we must expect that it will be very difficult to find other jobs for dismissed workers, says Secretary of Food Workers' Union NNF, Poul Erik Faarkrog.
He has helped to negotiate closing terms for the employees in Hjørring and Klovborg. Funds of DKK 45,000 per employee for training and retention have been agreed. The latter covers a reward to those employees who stay in their job despite the impending closures.
And then the funds will also be spent on training for new skills - and potentially new jobs.
It will not be in the dairy industry for many of them, but then we will focus on other possibilities. It's hard, but we must do everything possible to help those who are affected, says Poul Erik Faarkrog.