Japan's Daio Paper to cut 1,000 jobs, more than 10% of its workforce, by end of fiscal 2014

Audrey Dixon

LOS ANGELES , September 7, 2012 (Industry Intelligence Inc.) – Japan’s Daio Paper Corp. plans to shed more than 10% of its 8,000-strong workforce by the end of fiscal 2014, Jiji Press reported via The Daily Yomiuri on Sept. 8.

The 1,000 planned job cuts are more than the company had previously intended; a figure of 900 was mentioned in Daio’s business plan for the three years ended in fiscal 2014.

According to The Daily Yomiuri, there will be no new hiring for two years.

Also on hold are plans to open new Daio plants in Fukushima and Shizuoka prefectures, and the company will consider integrating nine paperboard units as well as possibly scrapping aging facilities at other units, The Daily Yomiuri reported.

Daio is Japan’s fourth-largest paper company. According to The Daily Yomiuri, Daio is targeting sales of 450 billion yen in fiscal 2014 and a recurring profit of 22.5 billion yen.

The primary source of this article is Jiji Press, via The Daily Yomiuri, Tokyo, Sept. 8, 2012.

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