Volvo Construction Equipment

Type
Internal restructuring
Country
Sweden
Region
Location of affected unit(s)
Vaexjoe (Smaland med oearna), Eskilstuna (Oestra mellansverige), Hallsberg (Oestra mellansverige), Arvika (Norra mellansverige)
Sector
Manufacturing
(28) Manufacture of machinery and equipment
28.9 - Manufacture of other special-purpose machinery
28.92 - Manufacture of machinery for mining, quarrying and construction
450 jobs
Number of planned job losses
Job loss
Announcement Date
20 March 2014
Employment effect (start)
Foreseen end date
15 April 2014

Description

Swedish construction equipment manufacturer Volvo Construction Equipment plans to cut 450 jobs at different sites in Sweden. This is to affect mainly production workers. Sites affected are in Växjö (Småland med öarna), Eskilstuna (Östra mellansverige), Hallsberg (Östra mellansverige) and Arvika (Norra mellansverige). The internal restructuring is due to the low profitability of production.

The company has not given notices as it is hoping that there will be enough voluntary departures. Those leaving voluntarily will receive a severance payment. Volvo hopes that the job reduction will be executed by April 2014.

The ERM previously reported restructuring events at Volvo Construction Equipment in 2008, 2009, 2010 and 2012.

Sources

  • 20 March 2014: Dagens Industri

Citation

Eurofound (2014), Volvo Construction Equipment, Internal restructuring in Sweden, factsheet number 76737, European Restructuring Monitor. Dublin, https://apps.eurofound.europa.eu/restructuring-events/detail/76737.