Heinzel: Job cuts at Laakirchen and Steyrermühl paper mills
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The Heinzel Group has been forced to cut jobs at its Austrian paper mills in Laakirchen and Steyrermühl due to market conditions and costs associated with corrugated base paper production.
The company has confirmed to EUWID that, due to weak market demand and as part of temporary capacity adjustments at the Laakirchen and Steyrermühl plants, a certain amount of staff reductions are unfortunately necessary.
“We are handling this responsibly and are using measures such as short-time working and internal transfers wherever possible. It is important to note that these adjustments will not affect our customers; deliveries and commitments will continue as usual, and we remain fully committed to the long-term development of our Austrian sites,” the company said in a statement. Heinzel Paper employs a total of more than 600 people at both locations.
The Heinzel Group operates two paper machines in Laakirchen. The conversion of PM 11 was completed in April 2025. The plant was converted from the production of publication papers to corrugated base papers with an investment of around €140 million. The second plant, PM 10, was already converted in 2017, also from SC paper to corrugated base papers made from 100% recycled fibers.
At the Steyrermühl paper mill owned by Heinzel subsidiary Zellstoff Pöls, the former UPM paper machine PM 6 was converted in mid-2024 to produce kraft papers for packaging, which are marketed under the Starkraft brand.
heinzelpaper Laakirchen recently announced that it would be raising its prices for corrugated base papers.
