The industrial action began on 1 January and is the longest strike in the history of Finnish paper workers, according to union sources. 

UPM wrote to customers of its Communication Papers business last week regarding the ongoing impact of the Finnish stoppages. 

Previously, UPM said it would try to service customers from its mills outside Finland “to the extent possible”. However, in the Communications Papers missive UPM said it had “no options” to actually achieve that.

UPM stated: “Currently there are only limited deliveries from our Finnish mills, and we have no options to shift orders to assets outside of Finland. 

“As stated earlier, this force majeure event will lead to the postponement of certain orders and we will not be able to accept or confirm all additional orders placed for the duration of the strike. We will inform you on a case-by-case basis if your orders are affected.”

In the labels industry there are major concerns about the impact of the UPM Raflatac stoppage on label supply chains, and ultimately on everyday consumer items.

Posting on LinkedIn, Will Parker the former chief executive of Optimum Group’s Telrol self-adhesive label business, said: “With reports of machines standing still now in Europe due to delays or lack of supply this will impact on all consumer supply chains and not those of just food and pharma.

“One thing for certain now is that the shelves will be short or empty of key items in the very near future and the continuing lack of any traction or resolution from Finland is a catastrophe we will all feel.”

A paper industry source told Printweek that “certain large European customers do not accept a strike as force majeure and are considering taking [legal] action at some point”.

The Finnish Paperworkers’ Union and Trade Union Pro have issued a bulletin about the reasons for the industrial action, explaining why they believe that a force majeure situation does not exist. 

The unions stated: “…this is a conflict caused by the company pursuing its ideological objectives. It is important to note that the conflict is not caused by the demands of trade unions targeting to improve earlier terms and conditions of work.”

The European Trade Union Confederation has also urged UPM to negotiate and end the stand-off. 

Meanwhile, unions involved with UPM’s end customers are being asked to encourage their employers to reject the force majeure argument. 

“This means significant penalties for UPM, and support for the strike,” a union source noted. 

However, Printweek understands that UPM’s terms and conditions of sale clearly include strikes as a force majeure event. 

The UPM mills impacted by the strike action are:

• UPM Jämsänkoski (graphic papers including uncoated magazine paper and specialty papers)
• UPM Kymi (WFC and WFU graphic papers including Finesse and Fine)
• UPM Kaukas (LWC graphic papers including Ultra and Star)
• UPM Rauma (LWC magazine papers)
• UPM Tervasaari (specialty release liner base papers)
• UPM Raflatac Tampere (labels)

In addition the UPM Kymi, UPM Pietarsaari and UPM Kaukas pulp mills are also included, as is the UPM Kaukas biorefinery.

The strike is set to continue until 12 March unless an agreement is reached. UPM has not yet put a figure on the likely financial impact.