Ericsson to Cut 1,600 Jobs Across Sweden Amid Global Restructuring

Ericsson has announced plans to reduce its Swedish workforce by 1,600 employees as part of a global cost-efficiency initiative responding to stagnant market growth. The reduction, representing about 13% of Ericsson’s Swedish workforce of over 13,000, will affect all eight of the company’s locations in Sweden, including Stockholm/Kista, Gothenburg, Linköping, Lund, Borås, Karlskrona, Luleå, and Kumla — with Kista facing the largest job cuts.

The company has officially notified the Swedish Employment Agency and started negotiations with labor unions regarding the layoffs. This announcement marks the third significant downsizing at Ericsson in a short span, following a voluntary reduction program in 2023 and another layoff notice in 2024.

Union leaders expressed strong criticism of Ericsson’s approach. Jessica Nygren, chairperson for the union Akademikerna at Ericsson Kista, lamented the timing of the announcement soon after the holiday season, calling it “particularly harsh.” She also condemned the company’s apparent lack of long-term planning and proper competency management. Similarly, the Unionen labor organization voiced concerns about the uncertainty the layoffs bring to employees’ job security.

Despite the workforce cuts, Ericsson reaffirmed its commitment to research and development, investing approximately 50 billion SEK annually to maintain innovation capabilities. The layoffs come as Ericsson marks its 150th anniversary, a bittersweet milestone for many employees given the job reductions.

This sweeping restructuring reflects Ericsson’s efforts to streamline operations amid challenging market conditions while balancing investment in future technologies. The company has not yet specified which roles will be eliminated or provided a detailed timeline for the layoffs, leaving employees and unions awaiting further clarity.