OP
PRESS RELEASE
9 February 2015
OP continues organisational changes
OP is continuing to make changes to its operations and is therefore initiating procedures for information and consultation of employees. This is the next step in building the new OP owned by its customers.
The organisational change is aimed at preparing OP for a drastic change in the financial sector's operating environment. Economic growth is still slow, interest rates will remain record low, regulation will become tighter and customer behaviour will change. The most significant factor causing quick changes to the financial business in the coming years is digitisation, which will not only affect customer behaviour and service use but will also bring about significant changes in the competitive field, service processes and companies' revenue models.
In order for OP Financial Group to be successful amid this major change, it must have high capital adequacy and maintain its competitive edge and capacity for continuous transformation.
The objective of the information and consultation of employees process is to change the current organisation to correspond to the new business-driven management model, remove any overlaps, and deepen the integration between insurance and banking operations.
The measures are being taken for production-related reasons.
OP Cooperative's Supervisory Board decided on 24 April 2014 on a significant reform of the central cooperative and of the organisational structures, and appointed new Board members. In October 2014, the Group introduced a management model based on three business segments, and appointed their senior management.
The next step involves the organisation of other staff in OP Cooperative Consolidated's companies and organisations in accordance with the management and operating model that was adopted on 1 October 2014.
The procedures for information and consultation of employees concern, with certain exceptions, the staff of OP Cooperative and its subsidiaries. The number of staff included is 4,352, and the outcome may be a maximum of 380 job losses.
The procedure does not involve staff in Omasairaala, the Baltic countries, OP Bank Group Pension Fund, OP Cooperative's HR function and Checkout Finland Ltd; Helsinki OP Bank's staff in branches for private customers excluding the supervisors and sales personnel, nor Helsingin OP-Kiinteistökeskus Oy staff excluding the supervisors.
Nor does the process extend to OP Financial Group's member cooperative banks.
The entire OP Financial Group employed a staff of some 12,360 at the end of 2014, with OP Cooperative Consolidated, which is the Group's central cooperative, about 5,470.
For more information and any requests for interviews, please contact: OP Communications, media contacts, tel. +358 (0)50 523 9904
The issuer of this announcement warrants that they are solely responsible for the content, accuracy and originality of the information contained therein.
Source: Pohjola Pankki Oyj via Globenewswire
