Autoliv intends to reduce headcount in France

Autoliv announces its intention to reduce its headcount in France as part of the previously announced initiatives to reduce its global headcount and to optimize its footprint. Today’s announcement is the final major communication related to the indirect headcount reduction initiative that was announced in June. “Aligned with previous communications, Autoliv continues to adapt and reduce its total workforce and to simplify its logistics and geographic footprint. These actions will significantly strengthen the company’s competitive position long-term, adapting it to a substantially lower level of light vehicle production in post-pandemic Europe. Today, Autoliv announced its intention to reduce its workforce in France by about 20% or approximately 320 employees at its major plants in France. The company aims to initiate these reductions in the first half of 2024 and they are expected to be fully implemented by the end of 2025. The reduction is expected to affect 220 indirect employees mainly in production overhead but also within R,D&E and S,G&A. Additionally, as part of the footprint optimization, Autoliv intends to relocate its steering wheel manufacturing in France to other plants, affecting approximately 100 direct employees. Specific measures will be defined in compliance with the local regulations and within the framework of a dialogue with elected representatives and the social partners to determine the most appropriate provisions for the employees concerned. These actions in France are expected to generate savings of around $10 million in 2024, reaching around $20M in 2025 and around $25M in 2026 when fully implemented. The related costs for the headcount reduction will be accrued this quarter. This will not impact the company’s adjusted operating margin for the fourth quarter or the full year 2023,” the company stated.