Ford-owned Volvo Cars said Wednesday it has given layoff notices to 1,200 employees in Sweden as part of efforts to reduce costs by around 4 billion kronor (US$662 million). The company said it has started negotiations with unions representing staff in Goteborg and Olofstrom in the west and southern parts of Sweden. A previously announced cancellation of the third shift at the Torslanda plant in Goteborg is included in the layoffs. Volvo also will cancel contracts with about 500 consultants and plans to reduce its overseas work force by 300 people, without saying where they are based. The company said the layoffs are part of a program to cut costs by around 4 billion kronor (US$662 million).
See "Volvo to lay off 1,200 in Sweden", Associated Press, CNN Money, June 24, 2008