Sweden’s Volvo Cars to chop 3,000 jobs as a part of main cost-cutting power

Sweden-based automaker Volvo Cars on Monday mentioned it could lower round 3,000 jobs as a part of a significant cost-cutting power.

The transfer comes after the corporate, which is owned by way of China’s Geely Holding, introduced an 18 billion Swedish kronor ($1.89 billion) charge and money motion plan overdue ultimate month.

Volvo Cars mentioned the 3,000 process cuts would basically affect office-based positions in Sweden and constitute round 15% of the company’s overall office-based body of workers.

“The actions announced today have been difficult decisions, but they are important steps as we build a stronger and even more resilient Volvo Cars,” Håkan Samuelsson, Volvo Cars president and CEO, mentioned in a observation.

“The automotive industry is in the middle of a challenging period. To address this, we must improve our cash flow generation and structurally lower our costs. At the same time, we will continue to ensure the development of the talent we need for our ambitious future,” Samuelsson mentioned.

When the motion plan was once introduced on April 29, Volvo Cars mentioned this system would come with discounts in investments and redundancies at its operations around the globe.

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