Olympic Lines Up 60 Layoffs

Olympic Shipping, a Norwegian provider of subsea and offshore construction vessels, is reportedly reducing its workforce by as many as 60 employees.

According to Norwegian media, mostly workers in the offshore fleet will be affected, but downsizing will also be in company’s administration sector at Fosnavåg and Rio de Janeiro offices.

The Oslo-listed company has tried to avoid layoffs with salary reductions, and managed to keep most of its employees, however it now anticipates lower activity levels after autumn and believes that there won’t be enough work to employ all of the company.

The provider of inspection, maintenance, and repair vessels, has seen red at the end of second quarter of 2016 on fleet write-downs and revenue drop of some 31 percent when compared to the prior-year quarter. Namely, Olympic recognised quarterly net loss of NOK 630 million compared to profit of NOK 70 million in the corresponding period in 2015.

The company is in a standstill agreement with its secured lenders up to and including October 14, 2016.

Subsea World News Staff

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