Rolls Royce
Industryweek 9543 Rolls Royce Marine Engines Logo

Rolls-Royce Axes 400 More Jobs

Oct. 5, 2015
The company said its "order book and profitability have been adversely impacted by the sharp and subsequently prolonged drop in the price of oil."

LONDON -- As slumping oil prices weighs on demand for vessels, Rolls Royce (IW 1000/193) said on Monday that it will cut another 400 jobs at its marine division.

This is in addition to the 600 job cuts already announced in in May.

"After many years of strong performance through to 2013, led by good growth in the oil and gas sector, our order book and profitability have been adversely impacted by the sharp and subsequently prolonged drop in the price of oil," said Mikael Makinen, president of Marine at Rolls-Royce. 

"Reducing our workforce is never an easy decision, but the continued weak oil price, and the need to become more competitive, means it is necessary, if we are to build a strong base from which we can successfully grow this business in the future."

The latest cutbacks are forecast to generate full-year savings of £40 million (US$61 million).

The group's marine division, which employs about 5,800 people in 34 countries, supplies technology and services to customers operating merchant, naval and offshore vessels.

Copyright Agence France-Presse, 2015

Popular Sponsored Recommendations

Shifting Your Business from Products to Service-Based Business Models: Generating Predictable Revenues

Oct. 27, 2023
Executive summary on a recent IndustryWeek-hosted webinar sponsored by SAP

Goodridge Boosts Productivity & Saves Costs by Moving to the Cloud!

Dec. 4, 2023
With Infor's cloud solutions, Goodridge has been able to greatly increase overall productivity, cost savings, data visibility, and automation. This case study discusses the many...

Powering Up Productivity: The Transformative Power of AP Automation in Manufacturing

Oct. 25, 2023
Discover how AP Automation is revolutionizing the manufacturing industry, driving efficiency, cost savings, and security. In today's world, automation is the key to staying competitive...

Food and Beverage 2024 Trends and Outlook for North America

Oct. 29, 2023
Ready to hear what 200 of your peers said are the top challenges and opportunities in 2024? Don’t fall behind. Uncover actionable insights to better prepare for 2024 in this whitepaper...

Voice your opinion!

To join the conversation, and become an exclusive member of IndustryWeek, create an account today!