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Economy

SAAB Gets More Time, Hires More

Published fredag 29 maj 2009 kl 11.30

A Swedish district court has given the troubled American-owned Swedish car maker Saab three more months to reconstruct the company during the search for a new owner.

This is the biggest reconstruction program in Swedish business history.

Meanwhile, with expected increases in orders on the sagging European car market, Saab has started to re-hire some of the workers already laid off.

In Sweden's other car marker, American-owned Volvo, the company and the metal workers' union have reached an agreement to cut working hours and salaries –in order to cancel plans to fire 600 employees.

The work week for 2450 employees is to be reduced by 20 % and wages by 8% –and no new cut backs are to be announced before next February.

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