Finnish National Opera to reduce staff by more than 50

The crisis-hit Finnish National Opera has announced that it will reduce its staff by a total of 54 employees. In practice, some 12 persons will actually be dismissed, which is somewhat fewer than had been initially planned.
     
The number of jobs axed may eventually be even lower, as some of those to be made redundant might give their notice of resignation in order to be eligible for a support package offered by the Opera. No performing artists are among those to be made redundant.
      Regardless of the final number of dismissals, the staff of the opera is to be reduced from last year’s 584 to 530 employees by 2010.
      The upcoming reductions will apply to some 20 employees - 20 man-years to be precise - in the ballet, choir, orchestra, and among the soloists. The majority of the reductions will concern technical and administrative staff.
      Most of the reductions will be implemented by using natural wastage.
     
Pekka Kauranen, the Administrative Director of the National Opera, confirms the information concerning the reductions gathered by Helsingin Sanomat.
      Kauranen notes that the reductions will help the National Opera to save some EUR 2.8 million every year, which is the same as the target set by the Board of the Opera.
      Last year the costs of the Opera’s operations amounted to some EUR 46 million.
      A decision on a strategic recovery plan was made in the spring of 2006. Initially, the aim was to reduce the staff by some 40, but the new Board of Directors raised the target to around 50 last spring.
     
The dismissals were "a very painful solution", commented Panu Sirkiä, the shop steward of the stage technicians.
      Apparently the cuts will mostly apply to technical and administrative staff, as in the future the Opera will adopt a so-called multi-competence model, with all employees doing more or less all kinds of jobs. With the help of the new model, the opera is supposed to manage with a lower number of staff than previously.
     
The National Opera has also made a decision on a new administrative organization. When the new General Director of the establishment Päivi Kärkkäinen takes up her position on December 1st, Administrative Director Pekka Kauranen will take the role of an expert reporting to the new General Director.
      Kauranen will keep his title, while more or less all his current duties will be transferred to General Director Kärkkäinen and other directors.
      Pekka Kauranen has been the top executive of the Opera since the former General Director Erkki Korhonen resigned from the troubled establishment in the summer.
     
Kauranen believes that the National Opera’s operational result for the current year will be positive, as all the productions have been selling well. Last spring alone the performances on the main stage played to 92 per cent capacity houses, while in the autumn some 84 per cent of the opera’s seating capacity has been sold so far.


Previously in HS International Edition:
  Finnish National Ballet announces new Artistic Director (15.11.2007)
  Former Governor of Bank of Finland to head new Finnish National Opera Board (8.3.2007)
  Surprise candidate to lead Finnish National Opera (21.9.2007)
  General Music Director resigns from Finnish National Opera (15.2.2007)
  General Director Erkki Korhonen resigns from Finnish National Opera (15.6.2007)
  Strapped Finnish National Opera to cut down on performances (18.1.2007)
  National Opera to reduce staff by 40; two-month layoff for all in summer 2007 (27.4.2006)