Electrolux to move production to Thailand
Swedish home appliance maker Electrolux, the world’s second biggest, said on October 25 it will eliminate 2,000 jobs after reporting third-quarter earnings below analysts’ estimates, and plans to close a factory in Australia and move production to Thailand.
The company, which owns brands such as AEG, Husqvarna, Zanussi, Frigidaire and many others, said in a statement that it is also reviewing the competitiveness of its four Italian manufacturing plants. Added to other measures, Stockholm-based Electrolux expects annual savings of about $284 million.
The Swedish company is expanding in emerging markets and moving production to low-cost countries to counteract weakness in Europe. Electrolux said the measures announced are “the next phase” of a manufacturing footprint program initiated in 2011 to improve cost competitiveness.
Electrolux said the cost cuts and job reductions will mainly affect its appliances businesses in Europe, the Middle East and Africa. The company had about 60,000 employees at the end of June, according to its website.
More than 500 people in Orange, New South Wales, Australia, who work for Australia’s last refrigerator manufacturing plant will lose their jobs after Electrolux decided to wind down its more than 70-year-long operation in the final quarter of 2015 and move it to the company’s refigerator manufacturing plant in Rayong, southern Thailand.
Swedish home appliance maker Electrolux, the world's second biggest, said on October 25 it will eliminate 2,000 jobs after reporting third-quarter earnings below analysts' estimates, and plans to close a factory in Australia and move production to Thailand. The company, which owns brands such as AEG, Husqvarna, Zanussi, Frigidaire and many others, said in a statement that it is also reviewing the competitiveness of its four Italian manufacturing plants. Added to other measures, Stockholm-based Electrolux expects annual savings of about $284 million. The Swedish company is expanding in emerging markets and moving production to low-cost countries to counteract weakness in...
Swedish home appliance maker Electrolux, the world’s second biggest, said on October 25 it will eliminate 2,000 jobs after reporting third-quarter earnings below analysts’ estimates, and plans to close a factory in Australia and move production to Thailand.
The company, which owns brands such as AEG, Husqvarna, Zanussi, Frigidaire and many others, said in a statement that it is also reviewing the competitiveness of its four Italian manufacturing plants. Added to other measures, Stockholm-based Electrolux expects annual savings of about $284 million.
The Swedish company is expanding in emerging markets and moving production to low-cost countries to counteract weakness in Europe. Electrolux said the measures announced are “the next phase” of a manufacturing footprint program initiated in 2011 to improve cost competitiveness.
Electrolux said the cost cuts and job reductions will mainly affect its appliances businesses in Europe, the Middle East and Africa. The company had about 60,000 employees at the end of June, according to its website.
More than 500 people in Orange, New South Wales, Australia, who work for Australia’s last refrigerator manufacturing plant will lose their jobs after Electrolux decided to wind down its more than 70-year-long operation in the final quarter of 2015 and move it to the company’s refigerator manufacturing plant in Rayong, southern Thailand.
