Swedish factory ‘hit by Rolls Royce cuts’

Cutbacks at British aero-engine maker Rolls Royce will lead to job losses in Sweden, where the company has a factory employing 430 workers.

The company announced on Friday that 2,300 out of 39,500 jobs would go internationally, and Sweden will not be exempt from the cuts. The cuts are expected to fall among administrative and support staff.

Rolls Royce’s factory in Kristinehamn employs 100 people in staff groups earmarked for cutbacks. Exactly how many of these will go is so far unclear. The factory, which produces ship propellors, is the largest private employer in Kristinehamn, 270km west of Stockholm.

“We will be affected in some way. But there will be no compulsory redundancies. We will find an agreed solution,” said Anders Björe, manager of the factory.

Björe said he was positive about the measures, as they were targeted at cutting indirect costs rather than curring production.

“There is no talk of cutting production. Those staff are unaffected. We have record order books both in the marine business and for flight,” he said, adding that those that could be affected include accounts staff, human resources, property management and other support staff.