Volvo Powertrain Reduces Work Hours

Friday, June 12th, 2009

For Volvo Powertrain, it was either reduce the working hours of their salaried employees or lay them off. And of course we all know that the logical choice is the former. And that was exactly what both the Volvo Powertrain Management and local PTK trade unions agreed to, a result of the continued business decline.

The agreement with the PTK unions in Skövde applies from July 1, 2009 through March 31, 2010. Work hours will be reduced by a maximum of four working days per month and pay reduced by a maximum of 10% during the agreement period.

Moreover, the salary level applicable following this year’s pay review is being reduced by 3% and the amount converted to 12 non-working days. The company guarantees that no new layoff notices will be issued during the agreement period.

The agreement covers 400 salaried employees in Skövde. In the voting carried out among PTK’s members yesterday, a majority of 86 % voted in favor of the proposed agreement.

(Source) Press

Tags: agreement period, company guarantees, decline, layoff notices, logical choice, salaried employees, trade unions, Volvo, volvo powertrain

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