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‘Important update’: Northvolt CEO calls staff to unexpected meeting

Head of struggling electric car battery company Northvolt, CEO Peter Carlsson, has called staff to a snap meeting today, local media reports. It's not yet clear exactly what the meeting is about.

'Important update': Northvolt CEO calls staff to unexpected meeting
File photo of the Northvolt Ett factory in Skellefteå. Photo: Magnus Lejhall/TT

According to local media P4 Västerbotten, Carlsson is on-site in Skellefteå and is set to meet staff at an unexpected meeting during the day. He is expected to talk to media after lunch.

Chief safety representative at the IF Metall union, Mikael Stenmark, told public broadcaster SVT that the topic of the meeting could be about anything, ranging from information about a new investor to an entire shutdown of the factory.

“We’ve heard there will be a meeting at 1pm where we’ll be given some information,” he told SVT. “I don’t know any more than that.”

A source told local newspaper Norran that the meeting is not a new development, rather it had already been scheduled in advance, and that it is about an “important update”.

  • Do you know more about the situation at Northvolt? Email The Local’s editor at emma.lofgren@thelocal.com to share your story with us. You can be anonymous in any article we write and we will never disclose your identity against your wishes

The company warned earlier in September that it may have to lay off staff and close parts of its factory in Skellefteå to cope with economic challenges, although it has not yet given details on the amount of staff who may be affected.

Last week, an undisclosed number of migrant workers were let go before the formal round of layoffs has even started.

Northvolt is the latest in a series of Swedish tech giants to struggle with the economic pressure of the past few years.

Swedish telecoms equipment company Ericsson said earlier this year it was cutting 8.6 percent of its Swedish workforce.

In early August, the Swedish Labour Ministry announced that the country was facing its highest unemployment rate in a decade, excluding the pandemic period.

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Swedish Migration Agency in talks with Northvolt over layoffs

Sweden’s Migration Agency is in talks with Northvolt about work permit holders who risk losing their jobs as a result of the troubled battery maker’s mass layoffs.

Swedish Migration Agency in talks with Northvolt over layoffs

“The Migration Agency is in dialogue with the company and informing of the applicable legislation,” said Ulrika Ekebjär, acting deputy regional director at the Migration Agency, in a statement, after Northvolt announced it would be cutting 1,600 positions.

It was not immediately known how many of these would be non-EU workers, but Northvolt is a major employer of international talent, with hundreds of foreigners moving to northern Sweden to work at its Skellefteå factory in recent years. 

Work permit holders who lose their job in Sweden have a maximum of three months after their notice period ends to find new employment in order to retain their right to stay in the country.

“It is necessary for us as an authority to have this dialogue with Northvolt because it may concern people whose cases we’ve previously handled – and will have to handle if the persons are laid off,” said Ekebjär.

Northvolt said it was “establishing a taskforce together with external partners to provide additional support to employees on work visas, and their families”, and that it would support impacted employees in the search for new jobs and relocation.

“Today marks one of the most challenging times in our company’s journey, as we face the difficult reality of reducing our workforce,” said Daniela Maniaci, chief people officer at Northvolt, in a statement.

“Our priority is to offer as much support as possible during this time to all our employees, especially those impacted by redundancy. In supporting employees who will leave the company, we are committed to handling the process with compassion and care, and ensuring everyone receives guidance needed for their next steps.”

  • Do you know more about the situation at Northvolt? Email The Local’s editor at emma.lofgren@thelocal.com to share your story with us. You can be anonymous in any article we write and we will never disclose your identity against your wishes

The redundancies include 1,000 positions in Skellefteå, 400 in Västerås and 200 in Stockholm, the company said in a press release. That amounts to 24.6 percent of the company’s workforce.

Warning of layoffs is the first step of a formal round of redundancies in Sweden, and doesn’t necessarily mean that 1,600 people will definitely lose their jobs. Some of them may be able to keep their job and others could be moved to other positions.

That being said, Northvolt has been struggling financially for some time.

The company warned earlier in September that it would have to lay off staff and close parts of its factory in Skellefteå to cope with economic challenges, although it had until now not given details on how many may be affected.

Last week, an undisclosed number of migrant workers were let go before the formal round of layoffs has even started.

Northvolt is the latest in a series of Swedish tech giants to struggle with the economic pressure of the past few years. Swedish telecoms equipment company Ericsson said earlier this year it was cutting 8.6 percent of its Swedish workforce.

In early August, the Swedish Labour Ministry announced that the country was facing its highest unemployment rate in a decade, excluding the pandemic period.

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