The company’s CEO, Jim Rowan, said in a statement that the cost-cutting measures taken last year were “beginning to pay off”, but that “it is clear that we need to do more”.
“The economic situation, rising commodity prices and increased competition are expected to remain a challenge for our industry for some time,” he added.
Volvo explained that the cut in administrative jobs accounts for about 6% of its employees in Sweden.
While Thursday’s announcement was only for Sweden, the company said it will “reduce costs and increase efficiency in its global operations in the coming months.”
In late April, the company reported lower first-quarter profits, despite an increase in sales, and said it was “assessing the need for more targeted cost-cutting measures.”
On the other hand, the company, which aims to become 100% electric by 2030, said that a fifth of cars sold in the first quarter were electric.
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