Type
Business expansion
Country
Sweden
Region
Västsverige; Västra Götalands län;
Location of affected unit(s)
Tuve (Göteborg)
Sector
Manufacturing
Manufacture For Transport Equipment
Manufacture Of Motor Vehicles, Trailers And Semi-Trailers
29.1 - Manufacture of motor vehicles

400 jobs
Number of planned job creations
Job creation
Announcement Date
2 June 2016
Employment effect (start)
Foreseen end date

Description

Swedish manufacturer of trucks, Volvo Trucks, is increasing its production volume and will expand production capacity with 300-500 new positions. The expansion is in response to an increasing demand from the European market, and Volvo Trucks plans to increase its production volume from 60-75 trucks per day to 105 trucks per day. The local union representative is positive and hopes that some of the workers who currently have temporary contracts will get permanent contracts as a part of the expansion.

The Volvo Trucks factory in Tuve, Göteborg currently has 1,100 employees. Volvo Cars has 17,500 employees in Göteborg.

Volvo cars, also part of the Volvo Group, have also been expanding in Gothenburg, Sweden, and created 1,500 new positions during the spring of 2015. Volvo Trucks previously cut 350 positions at its factory in Umeå, Sweden following relocation of production to Tuve, Göteborg.

Update 08/08/2016:Volvo presented an unexpected high profit for the second quarter this year and will expand production capacity in Tuve with 400-500 new employees. At the same time 300 employees will be made redundant by Volvo in North America in order to achieve a better balance between production levels in different regions.


Sources

  • 2 June 2016: Dagens Nyheter
  • 19 July 2016: Svenska Dagbladet
  • 19 July 2016: Dagens Nyheter

Citation

Eurofound (2016), Volvo Trucks, Business expansion in Sweden, factsheet number 87716, European Restructuring Monitor. Dublin, https://restructuringeventsprod.azurewebsites.net/restructuring-events/detail/87716.