2024 has not been kind to Northvolt, the Swedish battery-maker co-founded by Peter Carlsson, who previously worked on battery technology at Tesla. The problems have led BMW to rethink itsthe initial steps that are part of a strategic review. These measures reflect a challenging macroeconomic environment and a subsequent reassessment of Northvolt’s near-term priorities, leading to a rescope of operations and appropriate resizing of our workforce, the announcement said.
Tom Johnstone, head of the Northvolt Board of Directors, commented: “Our success is in part dependent on the overall market ramp-up of electric vehicles and support from stakeholders around us. Equally, we must build on lessons learnt through our journey to date.”. It is harsh news for many employees. It includes a revised scope of operations in Sweden to ensure that resources are focused on accelerating production in large-scale cell manufacturing at Northvolt Ett.
As it reduces the scope of its operations and programs in Sweden, Northvolt will also reduce the size of its corporate support functions, which today are largely located in Stockholm. The rescoping of operations is critical to ensure a sustainable operation and cost base. In order to achieve this a workforce reduction of approximately 20% at a global level, and 25% in Sweden is required.