Swedish defence firm Saab lays off 350

Swedish defence and aerospace company Saab AB today said it was to lay off 350 workers as production of its JAS 39 Gripen fighter jet entered a new phase.

The company gave notices to workers at four units in Linkoping, where the aircraft is being assembled.

“Development and production of the JAS 39 Gripen, one of Sweden’s largest industry projects of all time, has entered a new phase. Production for export continues, but still below today’s capacity,” Saab said.

Gripen is a joint venture with Britain-based BAE Systems, with several jets being sold or leased to Sweden, South Africa, the Czech Republic and Hungary.

Saab warned in February it would cut between 1,000 and 1,500 workers through 2006 due to shrinking defence orders from the Swedish government. The company currently has about 12,000 workers.

Besides the Gripen, Saab makes missile and anti-armour systems, as well as navigation and tracking systems and lightweight camouflage netting.