The decision has been made to ‘accelerate the transformation of the Marine business through further restructuring and simplification’, according to the company; the latest round of job cuts is in addition to the 1,000 jobs lost last year.
The company, which employs about 4,800 people in 48 countries, including 400 in the UK, has not indicated which countries will be affected by the latest round of cuts. However, it has said that members of the senior management team will be affected.
Rolls-Royce has seen demand for its marine engines and repairs plunge in recent years, leading to a number of cost-cutting measures. Profits are expected to halve across the entire Rolls-Royce group this year in the wake of a slowdown in aircraft engine servicing.
“The ongoing market weakness that has followed the dramatic fall in the price of oil continues to have an adverse impact upon our order book and profitability,” said Mikael Makinen, Rolls-Royce Marine president. “We have made significant progress in transforming Marine into a far more agile and simplified business than we were and we have to take further steps to address our cost base.
“Reducing our workforce is never an easy decision, but we have no option but to take further action beyond the changes we have made to date.”
