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Release ID: 5334

Scania signs agreement for increased flexibility

Scania has signed an agreement with the Swedish Metal Workers’ Union at Scania as part of the company’s efforts to boost flexibility at the production units in Sweden. The agreement regulates flexible working time and flexible staffing so that Scania can adapt human resources to fluctuations in demand. Both Scania and the Swedish Metal Workers’ Union at Scania are in agreement that a long-term sustainable solution is required in order to ensure flexibility.

“The agreement will play an important part in our future ability to meet rapid changes in demand. It enhances our long-term ability to retain core competence at our production units,” says Anders Nielsen, Executive Vice President and Head of Production and Logistics at Scania.

For a long time, Scania has worked on boosting flexibility in production by using various methods. The new agreement means that the time bank system will continue in essentially the same way. The time bank system enables compensation to an employee to be held at a stable level, while he or she works more hours when demand is high and fewer hours when demand is low.

Scania also ensures flexibility through agreements on fixed term temporary employment. Current fixed term temporary contracts will remain in force under the existing agreement. After these contracts have expired, the new agreement aims to ensure that the bulk of flexible staffing will consist of personnel from staffing companies. The parties agree that the proportion of flexible staffing should not exceed 30 percent of the total number of production employees.

“My view is that Scania’s employees will gain greater security in the long run if everyone has permanent employment. We are also adding rules and regulations relating to flexible staffing. In addition, extra personnel on hire will gain a good pathway into Scania, since we will primarily use staffing companies to fill our vacancies,” says Johan Järvklo, Chairman of the Swedish Metal Workers’ Union at Scania in Södertälje.

The agreement enters into force on 1 September 2011 and replaces the existing agreements on flexible working hours at Scania (SFW) and temporary employment. It does not cover employees working today under fixed term temporary contracts at Scania – instead their agreements will remain in force as previously.

For further information, please contact Erik Ljungberg, Senior Vice President Corporate Relations, tel. +46 8 553 835 57.

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