Memphis, Tennessee, USA 09 January 2015 -- International Paper says cost-cutting program will ensure long-term competitiveness and support future of the corrugated packaging business in Italy.

International Paper (IP) is set to reduce the number of employees in the EMEA packaging division in Italy in order to cut production costs and improve its competitive position in a challenging market. According to an agreement signed by International Paper Italia and trade union representatives on 9 December 2014, up to 42 positions are to be shed at IP's corrugated packaging facilities in Italy. In addition, 12 positions will see organisational reclassification.

International Paper EMEA confirmed that the company had recently signed an agreement with employee representatives in Italy, "providing a formal legal framework to enable an early retirement program for up to 42 employees." That program was entirely voluntary and IP expected that about 20-25 employees would accept the offer for early retirement.