Saab says there are “no indications” yet as to whether or not it will be able to pay its white collar workers for August, as its Trollhattan plant continues to remain shut pending a potential financial injection.
Around 1,000 management staff have not been paid for July as the Swedish automaker struggles to secure a complex series of solutions to its cash problems, including possible investment from Chinese distributors Pang Da and manufacturer, Youngman.
Go deeper with GlobalData
Discover B2B Marketing That Performs
Combine business intelligence and editorial excellence to reach engaged professionals across 36 leading media platforms.
“[There are] no indications about August yet,” a Saab spokeswoman told just-auto. “Everything depends on getting some additional financials into the company. We have to bridge this period until we can get the Chinese investors’ approval because there is substantial capital to get the company up and running again.
“It is July for the salaried workers that is outstanding – that has not been paid so that would one of the first things we have to solve. There is a lot going on behind the scenes to strengthen the financials.”
Saab earlier raised the possibility of restarting production around 29 August, but no further news is yet available as to whether that is still an option.
The manufacturer has been locked in negotiations with its myriad suppliers concerning payment, although Lars Holmqvist, CEO of European suppliers association, CLEPA, told just-auto last week there was no point in trying to have Saab declared bankrupt, “because there is no money.”
Saab labour body Unionen, says it is still in the process of gathering pay slips for its white collar members to ascertain what is owed – a task that is complicated by the holiday season.
