Sweden’s Saab to cut more than 1,000 jobs

Swedish defense company Saab Group plans to axe lay off 1,000 employees in a move to adapt to difficult conditions.

Related news:
• Saab prepares for 'life after Gripen'
• Sweden sweetens bid for Brazil fighter jet deal

Saab AB, maker of the Gripen fighter jet, will cut more staff than previously announced.

The company has earlier indicated that up to 1,000 employees will be forced to leave the company during the upcoming years. But in an analyst and press meeting on Tuesday Saab’s chief executive officer Åke Svensson said that won't be enough.

“With the reorganization that we currently are undergoing I expect that we will have to cut more staff than those 1,000 that we've previously announced”, he was quoted saying by the Direkt news agency.

Two weeks ago the Lindköping-based firm, specializes in military defense to civil security, said it would reorganizes into five business areas on a move to meet significant changes the global defense industry is subject to.

"We are now reorganizing to meet the new conditions for our industry, which means that we must grow in world markets, develop clearer product offerings and secure a strong position within civil security," Åke Svensson said at the time. "Saab´s new organization is designed to enable further synergies."

The adjustment could also be seen in the light of a long row of lost fighter jet deals.

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Last Updated (Tuesday, 22 September 2009 21:14)

 
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