World number two truck maker Volvo (VOLVb.ST) said on Tuesday it had withdrawn redundancy notices previously handed out to 335 employees after a union deal cutting working hours and wages.


Volvo said in a statement the redundancy notices referred to employees at its Tuve plant, on the west coast of Sweden.


The deal with the IF Metal union meant working hours would be cut by 10 percent in addition to the existing two stoppage days per month while gross wages would be reduced by as much as 4 percent.


An agreed pay hike would also be postponed to March 31 next year while the company pledged not to cut any further jobs in the interim period, the company said.