Dutch company Heerema Marine Contractors (HMC) has informed of its intention to cut 250 jobs as part of a restructuring of the company.
HMC said on Tuesday that the restructuring was related to the continuing low oil price and historic low investments in the oil and gas industry resulting in an increasingly competitive market.
“With market conditions and the outlook further deteriorating since the start of this year, the restructuring focuses on adapting HMC to decreased work volumes and on enhancing the cost efficiency and competitiveness of the company,” the company said.
As a result of the intended restructuring, HMC will reduce its workforce by around 200 worldwide office personnel and around 50 fleet personnel.
Heerema added that the management added that the company had already informed the staff of the intended plans.
All changes are subject to consultation with the relevant stakeholders. The company said that, as a first step, the company asked for advice from the Works Council of HMC in The Netherlands.
“HMC will do everything possible to support those affected and has also entered into discussions with the trade unions about a severance package,” added Heerema.
Frans den Houter, executive board member of HMC, said: “We are deeply sorry to have to consider this restructuring, resulting in a loss of colleagues, who every day put so much passion into their work and have helped in establishing our position as a leading company in the offshore industry.
“We will do our utmost to support them throughout this difficult period and disruption to their lives. At the same time, we are convinced that these decisions are crucial for the continuity of HMC.”
The company did state that, with this restructuring, there was a clear intention to strengthen HMC and continue to serve its customers as a marine contractor in the international offshore, oil and gas, and wind energy markets.