Volvo Cars cutting 10% of white-collar jobs in Canada, U.S.

Volvo is laying off more than 10 per cent of its white-collar workers in Canada and the United States. The job cuts are part of the car manufacturer’s drive to cut global costs and find efficiencies.

The company expects the job cuts to cost approximately $88 million, which includes severance payments to affected employees. Volvo will also be offering early retirement packages to some workers.

“There’s not any area of the business that is not impacted,” said Volvo Car USA and Canada president Michael Cottone, in an interview with Auto News.

“We have [many] different reports and jobs, and we’re looking at them to make sure these are the ones that give us the biggest impact and put our resources toward them.”

Volvo has already trimmed its Silicon Valley Tech Center and Southern California design centre staff by at least 75 per cent. This latest round of layoffs follows the auto company’s decision to slash its Swedish workforce by six per cent, or 1,300 jobs.

“It is not so much a cost-cutting program as more of a culture toward cost-consciousness… by doing things differently and more efficiently,” said Volvo chief executive Jim Rowan.

“It behooves us as we grow to be able to put that in early.”

Volvo is planning to switch to selling only EVs by 2030 — a move that the auto manufacturer says will be expensive.

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