Fiizk says it has been difficult to enter into contracts after the proposal for ground rent tax was put on the table.
Fiizk says it has been difficult to enter into contracts after the proposal for ground rent tax was put on the table.

Fiizk announces lay-offs in Norway

Semi-closed cage maker blames salmon tax proposal for job losses

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Fiizk, which makes semi-closed containment systems for fish farming, has sent lay-off notices to more than 30 employees following the Norwegian government’s announcement that it plans a 40% “ground rent” tax on salmon producers.

“After the ground rent tax was sent out for consultation in September this year, it has been difficult to enter into larger contracts with farmers in Norway. Fiizk is thus in a different situation at the start of 2023 than we were at the start of 2022,” the company said in a press release.

Most of the lay-offs are connected to the staff and the development department at the head office in Trondheim.

Fiizk said that it will now take care of affected colleagues, while at the same time carrying out ongoing and already agreed deliveries and development courses with farming customers.

Looking overseas

The company, which has an office in Scotland, is further strengthening its focus on value-creating activity outside Norway’s borders until it can more clearly see the effect the ground rent tax has on the willingness to invest in Norway.

Fiizk’s three Norwegian factories, which also produce industrial textiles for agriculture, the construction industry and offshore, still have a good supply of orders and will have normal activity throughout the winter.

Since the government’s tax announcement, redundancy notices have been issued at the following companies, all of which cite the ground rent tax as the basis for the job losses:

Lerøy, SalMar, Romsdal Processing, Akva Group, SinkabergHansen, Overhalla betong and Nova Sea. In total, approximately 1,400 people have been laid off.