it is reported that Sandvik AB is cutting 365 jobs in Sweden affecting employees at Sandvik Materials Technology and Sandvik Mining and Construction, as well as employees at Sandvik Materials Technology, as part if the Sandvik Group's new strategic direction and organization.

Sandvik Materials Technology has introduced an improvement program, The Step Change Program, to increase profitability and to strengthen the business area's position in key segments.

One of the objectives of the program is to reduce the overall cost structure by approximately SEK 500 million over a two to three year period, through such measures as reducing costs for staff and administration in addition to cost optimization of the sales organization.

As a result of the Sandvik Group’s new strategy and organization, the Sandvik Mining and Construction business area will be separated into two business areas: Sandvik Mining and Sandvik Construction as of 1 January 2012.

Mr Jonas Gustavsson president of Sandvik Materials Technology said that "Our aim is to complete the work as quickly as possible to shorten the period of uncertainty for our employees."

The changes are expected to be completed during the first half of 2012.

(Sourced from www.aggregateresearch.com)