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Credit Crunch

Volvo Trucks Lays Off Over 1000

Published tisdag 13 januari 2009 kl 15.46

Volvo Trucks is to lay off a further 1000 workers in Sweden, the majority of those in the northern Swedish city of Umeå.

The company has now halved its workforces in Gothenburg and Umeå since the beginning of the credit crunch.

Local Mayor, Lennart Holmlund, says he sees the additional lay-offs as a threat to the Swedish motor industry, he worries that if Volvo starts outsourcing truck construction outside of Sweden, it will never come back. He notes that Volvo’s factories in Belgium have not been hit by redundancies this time around.

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