Internal restructuring
Location of affected unit(s)
Arvika, Hallsberg, Braås and Eskilstuna.
Manufacturing Of Machinery And Equipment
Manufacture Of Machinery And Equipment N.E.C.
28 - Manufacture of machinery and equipment n.e.c.

1,350 jobs
Number of planned job losses
Job loss
Announcement Date
23 October 2008
Employment effect (start)
7 October 2008
Foreseen end date
7 April 2009


The first notice from Volvo CE in Sweden this autumn came on 30 September and concerned 500 employees at the sites in Arvika, Hallsberg, Eskilstuna and Braås. On 23 October, another notice was published concerning 850 employees in Sweden additionally. The negotiations for the blue-collar workers are now finished and they conclude that 1,100 workers have to leave Volvo CE. They are somewhat fewer than the notice indicated and this is because 125 people have chosen to accept Volvo's offer to quit voluntarily and receive SEK 100,000 (EUR 9,000). Some employees have chosen to quit without the offer as well. The negotiations for the white-collar workers are not yet finished, but Volvo CE expects to have a workforce of about 3,500 in Sweden in total when all the negotiations are done.

All the measures are expected to be carried out by April 2009 according to Swedish labour legislation. Volvo Construction Equipment (VCE) is the part of Volvo Group which manufactures construction equipment. The reason for the restructuring is the recession in Europe and the USA.


  • 1 October 2008: Dagens Industri
  • 1 October 2008: Svenska Dagbladet


Eurofound (2008), Volvo Construction Equipment, Internal restructuring in Sweden, factsheet number 67191, European Restructuring Monitor. Dublin, https://restructuringeventsprod.azurewebsites.net/restructuring-events/detail/67191.