Sweden's Volvo Cars plans to cut 3,000 jobs to cut costs as the auto industry faces challenges from trade tensions and economic uncertainty.
The company said about 1,200 layoffs would affect workers in Sweden, and it also plans to eliminate 1,000 consulting positions, mostly in the country.
The remaining job cuts will affect other international markets, most of which are office positions.
“Today’s decisions have not been taken lightly, but they are necessary steps to create an even stronger and more resilient Volvo Cars,” said Hakan Samuelsson, president and chief executive of Volvo Cars.
“The automotive industry is going through a difficult period. To cope with this, we must improve cash flow and structurally reduce our costs.”
The company, owned by the Chinese concern Geely, has 42,600 permanent employees.
Automakers around the world face a host of challenges, including rising raw material prices, a shrinking European auto market and US President Donald Trump's imposition of 25 percent tariffs on imported cars and steel.
Volvo Cars' head office and development centres are in Gothenburg, Sweden, and cars and SUVs are produced in Belgium, South Carolina and China.
Sourse: breakingnews.ie
