Volvo Cars cuts 1,300 employees – E24

The automaker is cutting costs and laying off 1,300 employees in Sweden.

The company is firing 1,100 employees of Volvo PersonnelVognar AB. The company wrote in one that 200 more will lose their jobs after the review press release.

The reduction corresponds to six percent of the company’s employees, and is valid only in Sweden. Employees in the company’s car production keep their jobs. Cuts will be made in management.

– You should do more

The company’s CEO, Jim Rowan, says the cost cuts the company initiated last year are starting to pay off, but “it’s clear the company needs to do more.”

– Economic headwinds, increased raw material prices and increased competition are likely to remain a challenge to our industry for a while, he says.

He stated that the company will also reduce the costs of using consultants and other external services.

In the first quarter of this year, Volvo Cars had 43,400 full-time employees, about half of whom worked in Sweden, he writes. industry today.

In the first quarter, the company had a profit before tax of SEK 5.3 billion. The company’s data shows a deterioration from 5.7 billion in the same quarter a year earlier Quarterly report.

Turnover came in at 95 billion SEK, up from 74 billion.