Volvo Cars, with factory in Ghent, wants to scrap 3,000 jobs worldwide (Ghent)
© Belga
The Swedish car manufacturer Volvo Cars, who also has a factory in Ghent, wants to scrap 3,000 jobs worldwide. Most jobs would disappear in Sweden, the car manufacturer announced.
Source: Belga
Today at 13:43
The reorganization mainly affects office jobs. 1,200 office jobs will disappear in Sweden and 1,000 jobs from Consultants – also especially in Sweden. The other jobs (around 800) are canceled in the other markets where Volvo Cars is active. About 15 percent of the office jobs worldwide would disappear.
Volvo Cars had already indicated at the end of last month to launch a saving plan of converted around 1.6 billion euros to cope with a decrease in his profit and the difficult situation in the sector. The jobs that are lost are part of that saving plan.
The car manufacturer saw the net profit decreasing by 73 percent during the first quarter to 1 billion crowns (91 million euros). Sales fell back by 12 percent to 82.9 billion crowns. Hakan Samuelsson, general manager of Volvo Cars, called the quarterly figures « disappointing ».
Electric
Volvo Cars holds on to his objective to evolve into a manufacturer of fully electric cars. The car manufacturer wants to have made the structural changes against the fall of this year.
« The actions that we announced today are difficult decisions, but are an important step towards a stronger and more resilient Volvo Cars, » said Samuelsson. « The car industry is going through a challenging period. That is why we have to improve our cash flow and structurally reduce our costs. »
Volvo estimates a living for the restructuring announced on Monday on converted around 139 million euros.
