The restructuring events database contains factsheets with data on large-scale restructuring events reported in the principal national media and company websites in each EU Member State. This database was created in 2002.
Manufacturing Manufacture Of Computer, Electrical Electronic And Optical Products Manufacture Of Electrical Equipment 27.20 - Manufacture Of Batteries And Accumulators
4,000 jobs Number of planned job losses
Announcement Date
12 March 2025
Employment effect (start)
12 March 2025
Foreseen end date
Description
The battery manufacturer Northvolt announced on the 12th of March 2025 that it is in bankruptcy, following a prolonged period of financial crisis over the course of 2024 and early 2025. The company was a flagship project for the green transition re-industrialisation in the northern parts of Sweden, and the bankruptcy is the largest in Swedish history. The bankruptcy affects all units of operation in Sweden; Northvolt, Northvolt Ett, Northvolt Labs, and Northvolt Systems. It is estimated that 4,000 workers are affected by the bankruptcy.
The company was set to produce lithium-ion batteries that could be used in cars, for example. It was founded in 2015, and since 2017, it has been known as Northvolt. Its investors are companies such as Volksvagen, Goldman Sachs, and BMW Group. Their gigafactory in Skellefteå was completed in 2021.
The battery factory in Skellefteå employs about 3000 people, of which approximately 1100 workers are employed from abroad with working visas, who now may not be able to stay in Sweden unless they find a new employer within three months. Across all branches, there are 1650 working visas for third-country nationals where Northvolt is marked as the employer. The battery factory has been a cornerstone project in the green reindustrialisation in the north of Sweden, where one of the primary issues has been attracting labour.
Over the last year, Northvolt has closed several subsidiaries and laid off personnel across their Swedish and international operations, which can be found in the following ERM cases:
Eurofound (2025), Northvolt, Bankruptcy in Sweden, factsheet number 202524, European Restructuring Monitor. Dublin, https://restructuringeventsprod.azurewebsites.net/restructuring-events/detail/202524.
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