The Swedish-American automotive supplier Autoliv, world leader in airbags and seat belts, announced Thursday, June 8, the elimination of 8,000 jobs worldwide, or 11% of its total workforce, in order to reduce its costs. against inflation.
These job cuts will concern “particularly” Europe, where the group “intends to close several sites”says Autoliv in a press release.
The measures will be applied from 2023 and will extend until 2025, announces the company. Autoliv did not further detail where these job cuts would take place.
In Europe, the group has a strong presence in Romania (10,500 people employed), but also has a significant presence in Poland (2,500), Hungary (2,000) and France (2,000), according to a spokeswoman. It also employs 3,000 people in Türkiye. Outside Europe, the main sites are located in Mexico (15,000 people employed), China (9,000) and Thailand (4,000).
“The downsizing will impact people in our offices, technical centers and factories, including management positions at all levels”explained Mikael Bratt, the CEO of the equipment manufacturer.
Revenue up, profit down
The group explains that it is confronted with ” challenge “ high inflation, which weighs on its production costs which it has difficulty passing on to its customers, the car manufacturers.
“We are working intensively with our customers to secure price increases, and we will not stop until we receive full and fair compensation”pointed out Mr. Bratt.
In the first quarter of 2023, Autoliv’s turnover had increased by 17%, to reach 2.5 billion dollars (2.33 billion euros), but its net profit had fallen by 11%, to s set at $74 million. Thursday morning, at the Stockholm Stock Exchange, the Autoliv share gained 2.45%, to 979 crowns, in a slightly rising market.