Monday, October 2, 2023

Autoliv announces layoffs due to inflation

Autoliv has cut 8,000 jobs worldwide. This step was taken with the purpose of reducing the cost in the face of the level of inflation. The cuts will be phased in from this year through 2025.

León, Guanajuato, June 9, 2023.- The renowned manufacturer of air bags and seat belts for cars, Autoliv, has revealed its plans to reduce its workforce by 8,000 jobs around its operation all over the world. This measure represents approximately 11% of its workforce and was made with the aim of reducing costs in the face of the current high level of inflation.

Autoliv, a company based in Sweden and the United States, concentrates most of its operations in Europe, although it has plants in other countries. Among them, Mexico leads with almost 15,000 employees, followed by China with 9,000 positions and Thailand with 4,000.

Mikael Bratt, CEO of Autoliv, explained that the layoffs will affect people in all areas of the company, including offices, technical centers and factories, including management positions. These cuts will be carried out gradually from this year until 2025. The manufacturer noted that Europe will be particularly affected, and many plants are expected to close as part of these measures.

Bratt stressed that Autoliv faces challenges due to rising costs, which directly affect its production lines and are difficult to pass on to its customers, the automakers. The company works closely with its customers to obtain price increases and seeks to obtain fair and full compensation.

Although Autoliv recorded a 17% increase in its turnover during the first quarter of this year, which reached $2.5 billion, its profit decreased by 11%, standing at $74 million.

Nation World News Desk
Nation World News Desk
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