Jobs to go at MacGregorCompany News // November 10, 2017
MacGregor has announced plans to achieve annual cost savings of approximately Euros 13 million.
The plans include splitting its Smart Ocean Technology division into a Cargo Handling division and Advanced Offshore Solutions division.
According to preliminary estimates, the plan will lead to a reduction of approximately 190 employees globally. MacGregor employed 1,876 people at the end of September 2017.
The objective of the savings is to seek synergies in both the offshore and merchant shipping operations and adapt to prevailing market situation faced by MacGregor. Another aim is to ensure long-term competitiveness.
MacGregor said its market situation "continues to be challenging." The company said merchant ship contracting improved slightly during January-September 2017 compared to the same period last year, but remained at a very low level.
In the offshore industry, the low price of oil is keeping investment at an unprecedentedly low level, which affects the demand for offshore load handling solutions. Contracting during January - September in the offshore sector declined compared to the same period in 2016.
The demand for MacGregor's services declined during the third quarter, especially in the offshore sector.
Cost savings are sought through the planned restructuring of operations and personnel reductions. It is estimated that the measures will affect operations in Norway, Germany, China and Singapore.