Up until now Saab had been able to avoid redundancies but as orders have been scarce recently, the lay offs are the only way for Saab to cut costs during the ongoing restructuring.
The company currently has about 4000 employees in Trollhättan, in the west of Sweden, down from the 7800 in 1990 – and now they will be even fewer. Critics say that the redundancies would have been avoidable if Saab had been given financial help from the government or from the European Investment Bank.
According to the employment minister Sven Otto Littorin, the government has no immediate plans to help Saab out financially, pending the sale of the company. Neither has the application to the European Investment Bank been considered.
Earlier in the week Radio Sweden reported on the rumour that a Swedish consortium was interested in the sale. According to Reuters news agency, this has now been confirmed by a Saab spokesperson.
It was also announced on Thursday that Volvo Cars, Scania and Volvo Trucks were granted loans by the European Investment Bank.
Prime Minister Fredrik Reinflrdt told TT that he commiserates with those affected. However, the government still has no plan to go in and bail Saab out.
” We are not going to take money from teachers and nurses in oder to run car companies - that isn’t the state’s main task. If Mona sahlin wants to do that she can explain it to the voters,” Reinfeldt said .