Maersk shipyard confirms job cuts

Maersk shipyard confirms job cuts Managers at A.P. Moller – Maersk’s Odense Steel Shipyard have decided to lay off up to 250 staff after talks with union representatives failed to agree to a cost saving solution.
   Lars-Erik Brenoe, chairman of the board, on May 27 announced that job cuts were a possibility as the company launched an efficiency drive to counter the “serious financial situation” it is facing. The shipyard is struggling to compete with the lower cost base Asian shipbuilders and is also being hurt by the weakening U.S. dollar, the primary currency for A.P. Moller’s shipping businesses.
   “The board has adopted the management’s proposal and with regret we have had to realize that the negotiations in the past week between management and employees did not lead to an agreement as to how the difficult financial situation of the shipyard can be solved. In order to strengthen Lind'’s possibilities of survival in the long term, however, it is necessary that the yard’s expenses be markedly reduced,” said Bren'e in a statement.
   Company management will now start discussions about the layoffs with the works committee and shop stewards.