Volvo Cars to shed 1,000 jobs: report

Discussion in 'China' started by Daredevil, Feb 21, 2013.

  1. Daredevil

    Daredevil On Vacation! Administrator

    Apr 5, 2009
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    Stockholm: Volvo Cars, which is owned by Chinese auto maker Geely, is to cut up to 1,000 jobs by the end of the year, the company's chief executive told Sweden's public broadcaster today. "You have to adjust to reality," Haakan Samuelsson said in an interview to SVT.

    A spokesman for the company, Per-Aake Froeberg, told Swedish radio that "by the end of the year, there will be 1,000 fewer of us." The company axed 1,100 positions last year, most of whom were working in its assembly plants. By contrast, most of those affected by today's announcement would be white collar workers, SVT said.

    Volvo Cars said in September it employed 22,400 people. The troubled car maker will soon launch a $239 million cost cutting drive, after sales dipped by 18 per cent in January, the Swedish broadcaster wrote on its website.

    The Gothenburg-based company sold 4,22,000 cars in 2012, which was 6 per cent fewer than the year before. The European market was especially tough, dipping by 10 per cent. Volvo Cars was acquired in 2010 by the Chinese maker Geely, but the Swedish brand has since seen its market share decline and profits dwindle.

    Geely exports vehicles to more than 40 developing countries in eastern Europe, Latin America, the Middle East, Africa and Southeast Asia.

    Volvo Cars to shed 1,000 jobs: report -
  3. Armand2REP

    Armand2REP CHINI EXPERT Veteran Member

    Dec 17, 2009
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    Another Chinese takeover going into bankruptcy sign. I said China will be the end of Volvo, looks like it is going that way.
  4. pmaitra

    pmaitra Moderator Moderator

    Mar 10, 2009
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    EST, USA
    Volvo is already an overpriced car of standard quality. One can get much better quality vehicles out of VW, Honda, Toyota for lesser price. It is surprising this hasn't happened 5 years back. It's about time Volvo was relegated to the annals of history.

    In short, a forgettable brand, with boring looking cars.
  5. satish007

    satish007 Senior Member Senior Member

    May 7, 2011
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    silly Volvo, they should learn American, while IBM sale thinkpad to lenovo, contract include nobody fired in 5 years which made Lenovo almost bankrupt.
    @Armand2EREP, Chinese has been bankrupting more than 10 years. stop stupid cursing please, clean your asses first.

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