MEPs say yes to EU support for 500 former truck industry workers in Sweden

Tags:
2016-04-14

A proposal to grant €1,793,710 in EU aid to Sweden to help find new jobs for 500 workers made redundant by Volvo Trucks, mainly at the Umeå plant, and by four of its suppliers and downstream producers, was approved by the European Parliament on Wednesday.

The employees were laid off due to difficulties faced in recent years by European manufacturers in competing with newly emerging Asian truck manufacturers. Heavy truck production in the EU fell in 2014, as did exports of heavy commercial vehicles, buses and coaches, while overall imports of commercial vehicles into the EU rose. Volvo therefore decided to boost efficiency by cutting costs to meet existing and expected global competition.

The redundancies are a challenge for Västerbotten county (of which Umeå is the capital). Most of the redundant Volvo workers are from Umeå, but others from Gothenburg and Eskilstuna are also included in the scheme. Volvo's optimisation programme also affected subcontractors, especially in Umeå.

The resolution by rapporteur Victor Negrescu (S&D, RO) was approved by 585 votes to 82, with 7 abstentions.

Source: European Parliament

  • 239 reads