Sales slumber prompts 1,000 Volvo job cuts
Published: 20 Feb 13 15:14 CET | Print version
Online: http://www.thelocal.se/46308/20130220/
Volvo Cars said on Wednesday it was preparing to axe 1,000 mostly white-collar jobs as car sales in Europe have fallen to a two-decade low.
- Volvo offers sneak peek of new car models (19 Feb 13)
- Ex-CEO slams Volvo Cars over sacking (10 Jan 13)
- CEO: 'very difficult' for Volvo Cars to avoid loss (19 Dec 12)
The Sweden-based carmaker, which is owned by Chinese automaker Geely, already slimmed down its organization by 1,100 jobs in the autumn of 2012.
"We have to adapt to reality. We've done that on the work floor, now we have to do it in the offices," Samuelsson told SVT.
Car sales are depressed across the EU. There haven't been so few cars sold in January since the industry organization Acea started collecting sales figures in 1990, SVT noted.
Auto industry subcontractor association FKG fear Volvo's 1.5 billion kronor ($237 million) cost reduction programme will hit consultants hard.
"There are many smaller consultancy companies in Gothenburg with 20 to 40 employees where many work with Volvo," CEO Fredrik Sidahl told SVT.
He warned that some companies would face bankruptcy if the Volvo contracts dried up.
Union representatives, meanwhile, responded to the news by saying that Volvo Cars owner Geely Holding should step in and inject cash.
"Our new owners need to step up to the plate and prove they are serious about long-term investing in Volvo," Magnus Sundemo, spokesman for the Volvo chapter of Akademikerklubben told SVT.
The company's CEO said instead that it was time for the company to stand on its own two feet.
TT/The Local/at
Follow The Local on Twitter
What do you think? Leave your comment below.
Riksbank unveils new board members
Sweden's central bank has appointed two new board members plucked from banking and academia to replace two outgoing members, one of whom was an outspoken critic of the Riksbank's commitment to the government's inflation goal. READ () »
350 jobs lost as Ericsson shuts Swedish factory
Swedish telecom giant Ericsson has buckled under the pressure of European competition and will turn off the switch on a cable production plant in Sweden, leaving 350 employees without jobs. READ () »
Sweden has 'lower tax burden' than Senegal
While Sweden has a reputation for having one of the most painful tax bills in the world, a new report ranks Sweden 20th when comparing the tax burden on salaries when social security payments and salary brackets are taken into account. READ () »
Ericsson probed over suspected bribes
Swedish telecom equipment maker Ericsson is suspected of having bribed ministers in Romania in connection with being awarded a contract for the country's emergency number and is now under investigation in the United States. READ () »
Warning over 'long-term' Swedish export slump
Sweden's largest business confederation has gone out guns blazing, criticizing politicians for not facing up to the challenges of "a lost year for Swedish exports" in 2012. READ () »
'Lean hospital a sign of Swedish welfare reform'
A Stockholm hospital saved from closure by private health care providers has been hailed by the Economist as one of modern's Sweden public-private success stories. READ () »
H&M mulls production in South America and Africa
Swedish clothing giant H&M is looking into the possibility of sourcing its production to South America, Central America, and even Africa, chief executive Karl-Johan Persson said on Monday. READ () »
Nord Stream plans new gas pipelines
Gas pipeline firm Nord Stream will hold an information meeting on the Baltic island of Gotland on Monday to introduce a proposal to extend its controversial gas pipeline project. READ () »
'Sweden next in line for housing market crash'
Sweden tops a list of countries that risk suffering a housing market crash, Germany's Commerzbank has warned, citing the slackening off of Swedish property prices as a harbinger of a potential downswing. READ () »
Solna voted best place to live in Sweden
Solna, a suburb just north of Stockholm, is the best place to live in Sweden, according to a new ranking published on Friday by Swedish news magazine Fokus. READ () »
- 17/05 LinkedIn profile lands Swede with hefty tax bill »
- 16/05 India in no rush to open first Ikea store »
- 16/05 H&M CEO to Bangladesh: raise minimum wages »
- 15/05 Sweden plummets in income equality ranking »
- 15/05 Pensioners to recruit ageing Swedish rockers »
- 15/05 Swedish shop hits back: our Converse are real »
- 15/05 Young Swedes forced to live with mum and dad »
- 14/05 Converse in bid to ban 'fake' shoes in Sweden »
- 13/05 Nordea tracked clients in secret 'black book' »
- 10/05 ABB executive to quit after five-year tenure »
| 22/05 | Accountant to Bank of ChinaSjr Ab | Stockholm |
| 22/05 | Accountant to Bank of ChinaSJR AB | Stockholm, STHM |
| 22/05 | Accounting ManagerMichael Page | Göteborg |
| 22/05 | Accounting ManagerMichael Page | Göteborg, VTG |
| 22/05 | Architectural Engineer #8409Aker Advantage | Stockholm |
| 22/05 | Business Developer/Account ManagerTransPerfect Translations | Stockholm, STHM |
| 22/05 | CAD/PDM Support EngineerEuropean Spallation Source ESS AB | SKÅ |
| 22/05 | Controller Tele2 Group ProductTele2 | Kista |
| 22/05 | Driven och social nätverkstekniker till ett av världens mest kaenda foeretagAcademic Work | Stockholm, STHM |
| 22/05 | Head of Product Control - If IndustrialIF skadeförsäkring | Stockholm, Nordic |
- 22/05 Spain and Germany fight youth employment »
- 21/05 Car boss asks Merkel to rethink CO2 pledge »
- 21/05 SAP to hire hundreds of autistic IT experts »
- 18/05 Economists warn against German euro exit »
- 17/05 Germany cool to France's EU economy plan »
- 17/05 Au pairs rules relax for non-German families »
- 16/05 Germany refuses to slam French economic policy »
- 16/05 Capri-Sun drink wins false advertising award »
- 15/05 Anaemic economy feels winter chill »
- 15/05 ThyssenKrupp bins 3,000 admin jobs »
- 20:59 What has happened to TL?
- 20:30 Husby Riots and violence against the police...
- 20:15 An alternative on the menu
- 19:57 Investment market in Sweden
- 19:46 Living costs in London
- 19:46 I need a dentist, in Malmö?
- 18:50 Where do I find out if my massage qualifications
- 18:50 Restaurant Inspection Scores
- 17:49 Moving from Canada to Sweden
- 16:48 Lamination or Plastic surgery for Certificate
Find products and services that are specifically focused on English speakers living in Sweden!
FULL DETAILS
Individuals & Couples - Stockholm Beth Rogerson PhD - Clinical, Marriage & Family Therapist
Click or call 08-5580 1266 now
Create an account with Banc De Binary, the world’s most reputable binary options firm, and start cashing in today! You can start by practicing with our free $50,000 demo account.
www.bbinary.com
Expat counsellor & talk therapist offers counselling for stress, relationship issues, sexuality, culture adjustment & life coaching. Private & confidential. Stockholm or Skype. Contact me today! 08-559 22 636 or
CLICK HERE
Your comments about this article:
The comments below have not been moderated in advance and are not produced by The Local unless clearly stated. Readers are responsible for the content of their own comments. Comments that breach our terms and conditions will be removed.
The Product Mix/Price points are out of sync...
Will the Chinese continue to support the Product..
Or is there another SAAB in the future