Volvo Cars is cutting several hundred jobs according to Swedish radio, which cited sources for the information.
The automaker, whose amount of workers has more than doubled during the past decade to about 43,000, confirmed it was revisiting staff and other costs to make sure its business had the “right skills”.
“As a growing company, Volvo Cars is constantly reviewing its cost base. This becomes even more important in light of the headwinds the industry is facing and Volvo Cars is now boosting its focus on costs related to staffing and bought services,” the company stated in an emailed statement.
The jobs mainly affected were those of consultants and staff associated in factory production will not be affected, a Volvo spokesman stated.
He refused to specify the number of job reduction and savings expected from the layoffs.
Volvo’s fortunes have come under renewed threat with the auto sector dealing with one of its most difficult periods because of trade conflicts, heavy bills to develop electric and driverless cars, and a general downturn in the industry.
The company, that has put its listing plans on ice because of the tariff wars and auto stock downturn, has reported lesser first-quarter profit and cautioned that margins are going to remain under pressure in 2019.