Electrolux to cut thousands of employees in North America

Swedish appliance giant Elecrolux suffered a loss of 385 million Swedish kronor ($35 million) and will restructure and lay off up to 4,000 employees, mostly in North America.

Most of the redundancies, according to the statement, will be in the loss-making business unit, where the company lost almost 1.2 billion kronor ($108 million). The reason for these financial losses was “an imbalance in the supply chain that has led to substantial cost increases.”

Jonas Samuelson, Electrolux CEO, said the layoffs were necessary to “restructure and implement a cost-cutting program.

Earlier, the company lost 350 million kronor ($31.7 million) due to its withdrawal from the Russian market.