Rolls-Royce to cut 600 marine jobs
Xinhua, May 18, 2015 Adjust font size:
British engineering group Rolls-Royce said Monday it would cut 600 jobs in its marine business by the end of this year in response to the falling oil price.
"The effect of low oil prices means we have to continue to look for further efficiencies," said Mikael Makinen, president of the marine division at Rolls-Royce, about the cost saving initiative.
The staff reduction will be global, but around half will be in Norway where the majority of employees and manufacturing facilities are located.
The company said that from 2016 onwards, the job cuts in it's marine division would save the company about 25 million pounds (39 million U.S. dollars).
"It is never an easy decision to propose reductions in our workforce, but it is a sign of the challenging market in which we operate," said Makinen.
"The future prospects for the marine business remain bright, and we are focused on maintaining our position as a technology leader, but we must drive further cost reduction today so that we are ready to grow tomorrow," said Makinen.
The group's marine arm employs about 6,000 people in 34 countries and districts. Endit