Northvolt Labs in Västerås to Lay Off 550 Employees

Two thirds of Northvolt Labs' workforce in Västerås will be laid off. This means that 250 people will remain, out of the initial 800 employees, during the ongoing bankruptcy process, reports SVT News Västmanland.

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Northvolt Labs in Västerås to Lay Off 550 Employees
Photo: Jonas Westling/TT

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Earlier in the week, the news came that around 1,700 people will continue to work in the bankrupt Northvolt companies in Sweden. Now it is clear how many will remain with the operations in Västerås.

We received the news yesterday that it is approximately one-third who will be allowed to stay in Västerås, including those employed in Västerås and also some staff from Stockholm. It's a huge number of people who will disappear and it's a lot of people who have worked for a very long time, says Oliver Szabo, chief safety representative at IF Metall to SVT News.

When Northvolt was declared bankrupt – after a prolonged debt and liquidity crisis – there were nearly 5,000 employees in the company, of which around 3,000 were in the battery factory in Skellefteå.

At the same time, the news also comes that Northvolt is discontinuing its so-called Chapter 11 process in the USA.

Judge Alfredo Perez has approved Northvolt's application to discontinue the reconstruction process under bankruptcy protection in the USA, which began in November last year.

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By TTEnglish edition by Sweden Herald, adapted for local and international readers

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