Finnveden to reduce staff by 125 employees in Hallstahammar

2005-09-01 Press release

Finnveden to reduce staff by 125 employees in Hallstahammar

Finnveden plans to move production of labor-intensive products from the production unit in Hallstahammar, Sweden, to the production unit in Poland. This means that 125 of the total 260 employees have been served with notice of termination of employment. Both production personnel and administrative staff at the production unit in Hallstahammar are affected.
In a global market with downward pressure on prices, the stiffening competition in the automotive industry is forcing increased production in low-cost countries. This is necessary in order to reduce costs and thereby remain competitive. At the same time, it will enable us to meet the growing local demand from local automotive production.
"Finnveden Fasteners holds a strong position as a supplier to the automotive industry. However, maintaining and advancing this position in the prevailing competitive situation with downward pressure on prices requires us to continually concentrate and specialize our operations in order to become more cost-efficient," says Tommy Boork, CEO of Finnveden.
Negotiations with the affected trade union organizations will be initiated in accordance with the Swedish Employment Act.
For further information, contact:
Tommy Boork, CEO of Finnveden, +46 (0)31-734 59 10.

Finnveden is an international engineering group, with strong market positions in the automotive industry. Products include fasteners, engine components and structural components. Finnveden has annual sales of about SEK 4.9 billion, with 3,300 employees. 
Additional information is available on Finnveden?s website: