Finnish retailer Kesko has announced that Hehku Kauppa, the wellbeing chain it operates alongside Oriola, is to discontinue its operations by spring of next year.
On 26 November, the business initiated statutory codetermination negotiations with personnel representatives relating to the potential discontinuation of its operations, 'as the company had failed to meet the business and financial targets set', Kesko said in a statement.
Following a three-week negotiating period with personnel, these negotiations have concluded, and the decision has been made to discontinue the business.
The announcement means that 19 stores will close, alongside an online store and corporate functions, with the loss of around 100 jobs.
The timetable for store closures will be confirmed in due course, Kesko added, with stores operating as normal for the time being.
© 2018 European Supermarket Magazine – your source for the latest retail news. Article by Stephen Wynne-Jones. Click subscribe to sign up to ESM: European Supermarket Magazine.
