Results of the City of Espoo’s cooperation negotiations

As a result of the negotiations, the employer estimates that the EUR 10 million in personnel cost savings set as a target by the City Board on 10 August will be achieved. At the same time, the estimated number of staff reductions has been significantly lowered during the negotiations. The total reduction need estimated in the employer’s negotiation proposal issued on 26 August was up to 250 person-years. Of these, up to 130 employees were estimated to face redundancy or significant changes to their employment terms. 

Following the conclusion of the negotiations on 14 October, the employer estimates that the total reduction need has decreased to 140 person-years, with 80 employees to be made redundant. In addition to the redundancies, 60 positions would be eliminated at the City of Espoo by 2029 through retirements, the expiry of fixed-term contracts and the elimination of vacant positions. The final number of employees to be made redundant may still decrease once it has been determined whether at least some of them can be offered alternative employment instead of redundancy.  

Changes by sector by 2029   

• In the Mayor’s Office and the units reporting directly to the Mayor, the total reduction need amounts to 57 positions, with 33 employees to be made redundant. 

• In the Growth and Learning Sector, the total reduction need amounts to 23 positions, with 13 employees to be made redundant. 

• In the Urban Environment Sector, the total reduction need amounts to 41 positions, with 15 employees to be made redundant. 

• In the Sector for Economic Development, Employment, Sports and Culture, the total reduction need amounts to 19 positions, with 19 employees to be made redundant.  
   

Organisational changes will also take place.  
 
As a general rule, no staff reductions were proposed for direct teaching and childcare roles in comprehensive, general upper secondary and early childhood education (including day care centres and residents’ parks). An estimated 8,000 employees and office-holders were therefore excluded from potential staff reduction measures, representing more than two-thirds of the city’s workforce. However, employees facing redundancy may be reassigned to these positions if they wish to accept them and meet the eligibility criteria.  

Implementation will take place in stages 

The decisions will be implemented in stages over the coming months, starting no earlier than 27 October,  and may involve a range of measures. The City Board will take note of the negotiation results at its meeting on 26 October. Any amendments to the administrative regulations will be considered by the City Board on 9 November and decided upon by the City Council on 16 November 2026. Changes to the organisational structure are expected to take effect on 1 January 2027.