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Auto Industry

Volvo Unions Hesitant towards Geely

Published fredag 5 februari 2010 kl 18.55

The four big unions at Volvo Cars have expressed their hesitation over Chinese car manufacturer Geely taking over the Swedish brand from the current owners Ford. “We want Volvo to survive here in Europe, we cannot just talk about Volvo’s plants and future in China”, Mikael Sallström, head of the IF Metall union, told the news agency TT.

The Swedish unions demand that Geely present a detailed plan concerning Volvo’s prospects for the next few years. But they also made clear that they will most likely stand behind Geely as the new owners. Geely’s CEO Li Shufu has said earlier that he wants the Swedish unions to back his takeover plan. Otherwise, a veto by the unions could even put the process on hold, Li Shufu added. The takeover deal is expected to be approved by all parts within the weeks to come. Volvo Cars employs some 20,000 people – mostly in West Sweden.

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