EMCC European Monitoring Centre on Change

Volvo Cars

Company/Organisation:
Volvo Cars

Geographic Location

Country: Belgium
Region: Arr. Gent; Prov. Oost-Vlaanderen; Vlaams Gewest
Location of affected unit(s): Ghent

Company

Sector: Manufacturing
Manufacture of transport equipment
29.1 - Manufacture of motor vehicles
Number Employed: 5200
Group: Shanghai Geely Zhaoyuan International Investment

Employment Effects

Announcement Date: 25-10-2012
Planned Job Reductions min: 300
Planned Job Reductions max: 300
Type of Restructuring: Internal restructuring
Employment Effect Start: 31-12-2012
Foreseen End Date: 01-01-2013
Other Job Reduction Measures: 300

Additional Information

Car manufacturer Volvo announced its intention to reduce its workforce at the Ghent plant by 300 employees. The job cuts affect agency workers whose contracts will not be renewed at the end of the year.

According to the management, as opposed to previous years, the customer demand is declining and they need to rebalance their production output. There is currently no reaction from the trade unions.