Swedish-American car safety equipment maker Autoliv said Thursday that it would cut its global staff by up to 8,000 positions, as it attempts to cut costs while facing pressure from inflation.
The company said the cuts would be made globally but "particularly within its European operations" where it expects to "close several sites".
Some 6,000 would be "direct positions" while 2,000 would be "indirect positions."
"We intend to simplify and consolidate how we operate in all areas. The headcount reduction will affect people based in our offices, technical centers, and plants, including leadership positions at all levels," Autoliv chief executive Mikael Bratt said in a statement.
Autoliv, a world-leading producer of products such as seatbelts and airbags, also said it was continuing to negotiate with its costumers to "secure pricing" as it struggles to pass on increased production costs to its customers -- carmakers.
"We will not stop until we have received full and fair compensation to ensure that inflationary pressures are effectively pushed through the value chain," Bratt said.
In Europe, the group's strongest presence is in Romania (10,500 employees), but it is also present in Poland (2,500 employees), Hungary (2,000 employees) and France (2,000 employees).
Outside Europe, it mainly has staff in Mexico (15,000 employees), China (9,000 employees), Thailand (4,000 employees) and Turkey (3,000 employees).
In April, the company announced it was building a new factory in Vietnam, set up to produce airbag cushions and fabric, where it expected to employ up to 2,000 people.
For the first quarter of 2023, the company's net sales grew by 17 percent to $2.5 billion, while its net profit fell by 11 percent to $74 million.