Saab serves notice of 370 redundancies in Karlskoga, Eskilstuna, Linköping and Göteborg
As part of a long-term strategic adjustment to changing market conditions, the operations within Saab Bofors Dynamics AB are to be reorganised. This results in Saab serving notice of 370 redundancies at four business locations. Only office personnel will be affected.
The Swedish government's changed direction regarding materiel spending means that Saab does not presently see any new major development projects from the Swedish Armed Forces within Saab Bofors Dynamics' area of business. This has led to a reorganisation which involves Saab giving notice of 370 redundancies among office personnel. The reorganisation will lead to a reduced but more focused development organisation and a continued targeted focus on sales, production and maintenance. The new organisation will continue to engage approximately 30 percent of employees in development. Approximately 1,300 people work within Saab Bofors Dynamics at present. "This restructuring is necessary in order to adapt the business to the changing market situation in the long-term. We will now carefully be implementing the reorganisation and the redundancies together with the union organisations, with regard to both individual employees and the business," says Saab CEO Åke Svensson. Operations at the following four localities are affected (the number of positions affected by the redundancies are shown in brackets): Karlskoga (148), Eskilstuna (84), Linköping (115) and Göteborg (23). Redundancies will be made during the period 2009-2011. The Employment Services in the counties concerned have been informed and dialogue with the trade unions concerned have begun. The total structural costs are estimated at approximately MSEK 200 and include both the costs of staff reductions and other costs incurred in connection with the reorganisation. The cost is expected to mainly affect the results during the fourth quarter of 2009. Saab is conducting a review across of all its operations and further reductions cannot be excluded. Saab serves the global market with world-leading products, services and solutions ranging from military defence to civil security. Saab has operations and employees on all continents and constantly develops, adopts and improves new technology to meet customers’ changing needs. For further information, please contact: Saab Press Centre, +46 (0)734 180 018 www.saabgroup.com The information is that which Saab AB is required to declare by the Securities Business Act and/or the Financial instruments Trading Act. The information was submitted for publication on June 2 at 08.30.