Truck maker Scania confirms plan to cut 5,000 jobs globally due to the financial impression of the novel coronavirus
Truck maker Scania, part of Volkswagen’s Traton group, said Friday it could cut 5,000 jobs globally due to the financial impression of the novel coronavirus, confirming a plan first introduced in June.
The cut represents 10 per cent of Scania’s international workforce and adopted a 41 per cent drop-in car deliveries within the first half of 2020, the company said.
Headquartered in Sweden, Scania additionally has manufacturing services within the Netherlands, France, Brazil and Thailand.
Like many worldwide corporations, Scania has been hit onerous because the COVID-19 pandemic has despatched shockwaves by way of the world economic system.
“Looking ahead, the demand situation remains uncertain,” Scania’s chief govt Henrik Henriksson said in a press release. “It will take a long time before demand returns to pre-crisis levels,” he added.
That means “we now face the tough measure of reducing the organisation by around 5,000 employees globally,” said Henriksson.
During the peak of the lockdowns in Europe, Scania said it utterly shut down manufacturing due to shortages of parts and disruptions in its provide chain.
Net gross sales within the second quarter of 2020 fell by 38 p.c to 25.four billion Swedish kronor ($2.9 billion or 2.5 billion euro), and the company reported a web lack of 544 million kronor.