Part of the Chinese Geely, Swedish Volvo Cars will soon lay off 1.3 thousand of its office workers. They will be out of work due to the company's new strategy focused on reducing the "carbon footprint". This was reported by the press service of the Swedish automaker.
Around 1,100 employees will be made redundant at Volvo Personvagnar AB's main global operating unit in Gothenburg, followed by another 200 employees at other Volvo-controlled entities across the country. In total, this is 6% of the company's staff in Sweden.
There are no plans to lay off production workers at this stage. When the reduction will be carried out, the company does not specify. In addition, it intends to significantly reduce costs in the coming months by reducing the number of consultants and services purchased, as well as improve the efficiency of its global operations.
“The company has defined specific strategic goals for the future: to achieve growth and become a 100% electric vehicle manufacturer by 2030 while constantly reducing the overall carbon footprint. To ensure that production meets these goals, steps are now being taken to create a more efficient and sustainable cost basis for the future,” the press service explained.
The Unionen union, which Volvo employees are members of, expressed concern about the company's decision to cut staff and called it unexpected.
Carbon footprint is the totality of all greenhouse gas emissions produced directly and indirectly by an enterprise or product.
Volvo Cars will get rid of 6% of its employees
