Veikkaus could cut 240 jobs as Finland moves to licensing model

Image: Veikkaus

Finnish state-owned gambling operator Veikkaus has stated it plans to make several reductions across the organisation as it prepares for upcoming changes to the country’s gambling industry.

As Finland moves towards a licensing model, which is expected to be implemented no later than 2026 according to government, the company has stated that cuts could occur in employment contracts and venues.

Veikkaus’ digital gambling business is intended to become part of the international licensing gaming market, however, lottery and physical slot machines will remain within the monopoly.

The operator has stated that to achieve “a sustainable and profitable business model that guarantees competitiveness”, changes across the organisation have been planned, with negotiations being discussed this month.

Covering Veikkaus and its 825 employees, the operator claimed the changes could result in “the termination of the employment contracts of a maximum of approximately 240 employees and significant changes in the terms and conditions of employment of a maximum of 195 people”.

There are also plans to “reduce the number of gaming venues from 65 to approximately 40-50”, as well as witnessing the possible closure of Tampere Casino.

CEO Olli Sarekoski has stated that the changes are an “important part of Veikkaus’ growth strategy”, as the operator intends to “invest heavily in the new business” to build itself as Finland’s most successful gambling company and a “significant player in the international market”.

“We want to be competitive in the future licensing market and viable in the monopoly market. That is why we need changes to our operations that apply to the entire company,” commented Sarekoski.

“That means many parallel changes. We review the entire organisation from the perspective of profitability and growth. We also have to make difficult decisions. For some, these changes may mean the end of their employment. We care and take care of them.”