Stockholm - Swedish heavy-vehicle maker Volvo said Tuesday it planned to cut some 900 jobs in its Volvo Powertrain division, which makes engines and gearboxes. The engines are used for Volvo's heavy-vehicles as well as construction machinery, Volvo spokesman Marten Wikforss told Deutsche Presse-Agentur, dpa.
The Volvo Group has some 29,300 employees in Sweden. In addition to trucks and buses, the group also sells construction machinery and includes the divisions Volvo Aero and Volvo Penta.
Including Tuesday's annoucement, the Gothenburg-based group has recently announced plans to shed some 4,300 jobs in the truck division, construction machinery division as well as Volvo Penta.
"It is the sharpest downturn we have seen," Wikforss said of the market, noting that the cut in Powertrain was an adjustment to the lower production of trucks and construction machinery.
Talks about the cuts have commenced with labour unions.
The Volvo Group does not include the automobile maker Volvo Cars, which is owned by Ford.
