10 March 2025 – Defence and technology company Patria’s strong growth will continue in 2025 and in the coming years. The current operating model has achieved the goals set in 2021, enabled growth and increased order stock.
Patria will refine its growth strategy to respond to the significantly increasing demand and a constantly changing operating environment. Several changes in Patria’s operating environment require the alignment of strategic focus areas, and the company is also reviewing possible revisions to its operating model. As part of the development of its operating model, Patria will start change negotiations with its personnel.
“Patria’s operating environment has changed considerably since we developed our strategy extending until the end of 2025. Patria’s order stock and demand have increased significantly, especially in our vehicle programmes. Patria’s operating model needs to be as efficient and lean as possible in the changing operating environment to meet the increasing demand as well as to ensure the delivery of both existing and new orders. Simultaneously we want to continue to improve profitability,” says Esa Rautalinko, Patria’s President and CEO.
Patria’s planned operating model will focus on three key business areas
The company wants to meet the evolving market needs more efficiently and will focus on three key business areas with profit responsibility, including Protected Mobility, Defence and Weapon Systems, and Sustainment Solutions.
The key strategic drivers include the substantial increase in defence spending on a national and EU level, the strong increase in the demand for defence solutions and equipment, the importance of territorial and the Arctic region’s defence and the development of Europe’s defence through Finland’s and Sweden’s NATO membership.
Change negotiations
Patria anticipates that its number of employees will grow significantly this year as well. The plan is not intended to reduce the number of personnel, but rather, if implemented, tasks would be reorganised and personnel would be transferred to new tasks that would open up at Patria. The total number of personnel covered by the negotiations is approximately 1,600, including white-collar employees, senior white-collar employees and management. There are no blue-collar employee positions covered by the negotiations.
The change negotiations will begin on 17 March 2025 and last for a minimum of six weeks. The Patria Group companies included in the negotiations are Patria Oyj, Patria Aviation Oy, Patria Aerostructures Oy, Patria ISP Oy and Patria Land Oy.
In addition, were these plans to go ahead, the changes might have impacts on Patria’s operations outside Finland. For these operations the matter would be handled in accordance with local legal requirements in each country.
The aim is to keep the impact on customers or ongoing customer projects during the negotiations as minimal as possible and to always ensure the obligations related to the strategic partnership of the Finnish Defence Forces.
Patria will inform about the outcome of the change negotiations once they have been completed.
Millog Oy and its personnel, as part of the Patria Group, are not included in the scope of the negotiations.