TTS to cut 40-60 jobs in China and Norway
- Business & Finance
TTS Group will lay off 40-60 employees due to, as it explained, a weaker market development than expected in the offshore sector.
The company says that the cuts affect the offshore operations in Bergen, Norway, and Shanghai, China.
The layoffs, according to the company, are a cost and capacity adjustment to the current offshore market situation, as well as a consequence of an extensive bench-marking and process evaluation.
TTS Group says that the actions are expected to provide a gradual improvement in profitability in the first half of 2015 and adds that the layoffs have already begun. The downsizing, as TTS put it, is expected to be finalized during the 1st quarter of 2015.
Earlier this month, TTS reported a drop in revenue from its Offshore segment which was negatively influenced by the termination of the STX drillship project and a weak market for heavy lift cranes. In its third quarter report, TTS said that its Offshore business is expected to have low utilization and low margins in the quarters to come.