Saab will cut jobs, Muller says ‘battle won, but not war’

Earlier this week Saab Automobile received approval for its proposal for voluntary reorganization from the Court of Appeal in Gothenburg, Sweden today. Following that Saab released a statement saying that it will launch “an ‘efficiency improvement initiative’ review of the company’s business plan for 2012 and beyond, aiming at creating a more flexible and more competitive cost structure for the company.

New reports suggest that Saab may reduce jobs as it puts together a cost-cutting plan for its survival. “This is a battle won, but not the war,” Saab CEO Victor Muller said.

Muller said that the court’s decision meant employees could get paid by the weekend.

A spokesman for Saab said it was’t sure how many jobs would be lost and how much Saab planned on saving in the process.

Photo Copyright © Omar Rana – egmCarTech.

– By: Omar Rana

Source: Automotive News