Veikkaus has announced job cuts affecting approximately 185 to 215 of its 825 employees following the completion of staff consultations. The company will also implement significant changes to employment terms for around 110 to 150 workers.
In addition, Casino Tampere will close on December 9, barely two years after it was opened. The operator will shut down 19 other gaming arcades on December 22 after discussions with staff representatives.
To streamline its operations, Veikkaus is reorganizing into three operational units, each led by a senior vice president. Nora Vähävirta, the current chief operating officer of business operations, will manage domestic games of chance, slot machines, and arcades. Jarkko Nordlund, who joined Veikkaus as executive director in September, will oversee domestic online casino and betting operations, while Jonas Reuter, recently appointed executive vice president of international business, will lead international operations. Reuter has prior experience with IGT and Scientific Games.
While the staffing changes are substantial, they are not as drastic as initially feared. Veikkaus had indicated in September that up to 240 jobs might be cut along with potential changes for 195 other employees. Heli Lallukka, executive vice president of human resources, mentioned that “smaller final figures” were reached after constructive discussions with personnel representatives. Lallukka noted that significant investments would be made in the coming years to enhance competitiveness, emphasizing the need for expertise from outside the company.
The timing of the employment changes is expected to be finalized by year’s end.
Casino Tampere employs about 80 staff members and is one of the 65 gaming venues operated by Veikkaus in Finland. Other facilities set to close include Playhouse-branded venues in several cities, including Joensuu, Helsinki, and Lappeenranta. Veikkaus-branded arcades in Turku, Kuopio, and Helsinki will also shut down, along with several other locations throughout December.
In June, the Finnish government revealed its intention to end Veikkaus’ gambling monopoly by 2026 as part of extensive reforms aimed at mitigating financial and social harms associated with gambling. This change, prompted by a report indicating that around 50% of gaming activities occur on unlicensed platforms, would allow private companies to apply for licenses for sports betting and online casinos while Veikkaus retains its monopoly for the lottery and retail slot machines. The restructuring will result in separate entities within the same group, undoing the 2017 merger of Veikkaus, Raha-automaattiyhdistys, and Fintoto.
