Overview

• Volvo Cars is cutting 3,000 jobs globally, representing 15% of its office-based workforce, as part of a major cost-cutting initiative.
• The layoffs include 1,200 positions in Sweden and approximately 1,000 consultant roles worldwide.
• The SEK 18 billion ($1.89 billion) cost-cutting plan aims to create a leaner organization with improved cash flow and reduced structural costs.
• The restructuring will incur a one-time cost of up to SEK 1.5 billion ($157 million), impacting Volvo's Q2 2025 results, with benefits expected from late 2025 into 2026.
• Volvo remains focused on its transition to becoming a fully electric car company despite industry challenges such as slowing EV demand and global market uncertainties.