Volvo announces 2,400 more job cuts as truck sales drop
Friday, 7 February 2014
STOCKHOLM, Feb 6 (AFP): Swedish truck maker Volvo is cutting 2,400 jobs in addition to 2,000 cuts the group announced in October, hoping to boost falling profitability it said on Thursday.
The group faced a tough 2013, with sales falling by 9.0 per cent from the 2012 level to 272.6 billion kronor (30.9 billion euros, $41.7 billion), the truck market being closely linked to economic activity.
Annual net profit fell by two thirds to 3.80 billion kronor. Volvo is the second-biggest truck maker in the world after Daimler of Germany.
The job cuts-affecting management, administrative staff and consultants worldwide-are part of a restructuring launched in September and "a majority will be implemented during 2014," the company said in a statement.