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Electrolux phases out production home and abroad

Published: 24 Oct 09 11:26 CET | Double click on a word to get a translation
Online: http://www.thelocal.se/22852/20091024/

Swedish appliance maker Electrolux is considering plans to phase out production at one of its factories in Motala in central Sweden. The company has also announced the closure of a plant in Spain which employs 450 people.

The Motala site produces cookers for the Nordic market and employs 240 people.

”The factory has made losses for the last three years and therefore something has to be done,” spokesperson Erik Zsiga said.

”It’s primarily to do with the shrinking market for free-standing cookers,” he explained.

Electrolux stated that union negotiations are already in progress.

A final decision over the planned phase-out will be made in December, and regardless of the outcome, production at the Motala plant will continue until the end of 2010.

On Friday the company also announced the closure of a washing machine factory in Spain in 2011 that employs 450 people.

"Unfortunately we cannot manufacture products at a competitive cost level, which is why we will stop production there," said Enderson Guimaraes, head of Electrolux operations in Europe.

The plant in Alcala, near Madrid, produces washing machines for the Spanish, Portuguese, French and British markets.

After carrying out several reorganisations in recent years in a bid to cut costs, Electrolux announced the elimination of 3,000 jobs in December 2008 in response to the global economic slowdown.

TT/AFP/The Local (news@thelocal.se)

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11:54 October 24, 2009 by Nemesis
Instead of closing the production line, why don't they switch to other products, such as built in cookers?

Are the managers brainless or are they determined to ensure that nothing is produced in Europe?
00:58 October 26, 2009 by 2394040
The goal of all developed nations leaders, it seems, is to dump all the world's production in Southeast Asia. And then they can deal with pollution. The even-more-obvious problem is that most of the world's leaders think that pollution that originates in Southeast Asia will stay in Southeast Asia.

The world's leaders are all fools.
02:00 October 26, 2009 by mkvgtired
2394040, they wont have to deal with the pollution for long. The climate treaty being proposed in Copenhagen says all of us in the West owe a them a "carbon debt". We have to freely give our technology and money to these developing nations to clean up their pollution. We all know than there has never been a case of 3rd world governments abusing aid, so this should go off without a hitch.
02:20 October 26, 2009 by Typical Whitey
How ironic. Sweden, like the USA, losing manufacturing jobs. It was the Industrial Revolution that put the West ahead of all countries and cultures. And now Asia (China and India) are becoming the industrial giants, whilst we shrivel up like old ladies with false teeth.

And the threat from Islam continues. Wake up Sweden before it is too late.
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