Saab to shed 750 jobs

I know this is just starting to hit the Swedish newspapers. I haven’t seen those yet but I’ve just got off the phone with Saab’s communications people, who’ve given me the low-down.
Saab Automobile regretfully have entered into negotiations with the unions on shedding 750 employees via redundancies.
The losses will primarily come from the factory floor, with 650 job losses to come from blue collar ranks and 100 of the jobs coming from the white collar workforce. There was no timeframe mentioned, but negotiations with the union will start quite soon.
I can tell you from the phone conversation I had that the executive are gutted to have to make this decision, but the current economic circumstances and the need to get through the reorganisation process have made this move necessary.
Saab are looking to streamline their workforce and minimise cash outflows at the moment in order to present better to prospective investors. They also have to meet the declining market and face up to the same problem many carmakers are facing at the moment – a lack of demand and excess production capacity. This is an unfortunate but necessary part of this process.
Previous announcements from Saab with regard to moving from two shifts to one shift are not separate from this announcement. From what I understand, the 750 person total here is The Total.
They probably can’t say this out loud, but I’ll say it nonetheless as it’s just a logical conclusion anyway….
Saab are still planning on delivering three new models in the next 18 months – the 9-3x, 9-5 and 9-4x. They’re also on the record as wanting to concentrate everything they can in Sweden. That means there will be cars to be built and eventually, they’re going to need people to build them. The plan is to grow, not shrink forever.
This is a difficult announcement and I’m sure it’ll be a difficult time for those effected, but from everything I heard, it’s a necessity for Saab’s reorganisation and the potential to attract the right investor.