Rolls-Royce announces job cuts in marine business
Fall in oil price blamed on further cuts
Perry Gourley
AERO engine firm Rolls-Royce today announced plans to cut a further 400 jobs in its marine business on top of the 600 announced earlier this year.
The company blamed the cuts on the fall in oil price and the impact on orders in the division. The reductions will be made by the end of next year and will leave around 5,000 staff in the business.
Rolls-Royce's president of the marine division Mikael Makinen said:
"This is a fundamentally strong business, but we have to take decisive action to position it for future growth, with a structure that is simple, efficient and effective.
"At the same time we will sharpen our focus on the marine technologies of tomorrow by significantly increasing our current rate of investment in research and development."
Rolls-Royce's marine business supplies a range of technologies and services to customers operating naval, merchant and offshore vessels.
The company said the cost reduction proposals will generate full year savings of £40m.