Finnish company Neste merges renewable units, streamlines operations

Neste has completed its organizational change process, announced on 1 November 2023. Neste informed that it will merge its three renewable business units into one Renewable Products business unit as well as restructure its functions to better support business-driven ways of working.

With the simplified organizational structure and operational model, Neste secures the execution of its growth strategy with improved cost-efficiency and strengthens its long-term competitiveness. The planned organizational changes were expected to lead to a reduction of approximately 400 job roles globally. In Finland, following thorough change consultations, the number of job roles to be reduced has been confirmed at about 320. In addition, it is estimated that 70 job roles will be reduced globally. Neste offers its employees support in adapting to the situation in different ways.

The restructuring is expected to result in total annual cost savings of approximately EUR 50 million (~$54.44 million). Neste communicated on its Capital Markets Day in June 2023 that it is targeting over EUR 350 million (~381.09 million) value creation with its Neste Excellence program by the end of 2026, compared to the year 2022 acting as the new base year. The organizational changes and a more streamlined development portfolio are concrete steps in the program.

Note: The content of this press release has not been edited by Fibre2Fashion staff.

Fibre2Fashion News Desk (HU)