Last year, Volvo Trucks received approximately SEK 1.7 billion in so-called redundancy support from the Swedish Agency for Economic and Regional Growth.
About half a billion will be repaid due to miscalculation.
The state support will go to salaries for those who the company short-term leaves.
To get the support, you must do everything you can to reduce the costs for the employees.
21 bonus million to the CEO
At the same time, according to the newspaper Dagens Industri, Volvo decided to lower the requirements for the management's bonus.
The new, lower requirements meant that the management received a bonus of SEK 118 million, of which SEK 21 million went to CEO Martin Lundstedt.
Carl Trucks' Chairman of the Board Carl-Henric Svanberg writes in a statement that the Board decided on 28 May last year, when the pandemic had been going on for several months, to change the bonus requirements.
The board decided to "introduce revised criteria once the visibility has increased slightly".
Minister of Finance critical
Minister of Finance Magdalena Andersson is critical of the companies that distribute bonuses to management at the same time as they have received redundancy support.
- I understand, of course, that it stands out in the eyes of ordinary employees who have no bonus and who pay taxes and who finance these subsidies, she says to SVT.
According to Volvo, the company has not broken any rules because the bonus for 2019 was paid out in February 2020, ie just before it received support and the bonus for 2020, will be paid out this year, ie after receiving the support.
The long-term bonus will not be paid out until it has been approved by the Annual General Meeting this year.
- At the same time, it is not so long since you received this support.
The legislation states that you must reduce your labor costs and then it is clear that bonuses are one of those things.
Then, of course, it is a question of application, says Magdalena Andersson and refers to the Swedish Agency for Economic and Regional Growth, which is responsible for ensuring that Volvo complies with the rules and requirements for receiving the support.
The authority demands money back
SVT has applied to the Swedish Agency for Economic and Regional Growth's director general without result, but the press department writes in an email that there are isolated cases where the authority has demanded repayment due to variable remuneration and bonuses.
However, they do not want to comment on Volvo for reasons of confidentiality.
If Volvo Trucks has violated the rules on redundancy support, the company may be liable for repayment.