The Nordic region, known for its buoyant labour market, is now
feeling the effects of the global economic slowdown.

In Sweden, where the economy is dominated by exporters like Volvo and
Ercisson, the outlook has darkened as the global financial crisis has pushed
some of its main foreign markets into recession.

Volvo Group and Ford-owned Volvo Cars have already announced thousands of
job cuts across the country, and many Swedes are worried about what the future
holds.

Joanna Partridge , Reuters -
For years, Scandanavia was one of Europe's most buoyant labour markets.

But the Nordic region hasn't escaped the global economic slowdown, and
workers are worrying as companies slash jobs.

The latest bad news has come from the Swedish car and truck industry.

Volvo, the world's number two truck maker, posted a 12 percent year-on-year
fall in October on truck deliveries.

Volvo Group has announced over 2800 job cuts across its operations in
Sweden, and Ford-owned Volvo Cars has so far announced 3900 job losses.

Sweden's second city, Gothenburg, is known as the home of Volvo, and Volvo
Cars and Volvo Group are by far the biggest employers in the region.

Gothenburg has also seen the worst of the first wave of job cuts.

Olle Axelsson from Volvo Car Corporation says this has had a deep impact on
the region.

Olle Axelsson, Director of Information at Volvo Car Cooperation,
saying:
"It's very difficult when almost six thousand people where of maybe
1200 are consultants, but they are also people so to say, so it's a lot of
people that is in distress and feel that this is you know a very difficult
situation."

Katarina Krans is just one of the people facing this difficult situation.


The mother-of-two used to work on the assembly line at Volvo Cars, but
recently lost her job.

And she's worried even tougher times lie ahead for the family:

Katarina Krans, Former Volvo employee, saying:
"I haven't even received unemployment benefit yet. It hasn't been
processed and I still don't know how much it will be. We still have one salary
but my husband has been given notice too. If he loses his job and ends up on
benefit it will get even more difficult."

While it's cold comfort for people like Katarina, economists say the Nordic
region - which has low public debt levels and years of strong fiscal balances
is well-equipped to deal with a European recession.

But trade unions are also calling on big companies like Volvo to do all
they can to help people during these troubled economic times.

Joanna Partridge, Reuters