Maersk announces reduction of minimum 10,000 jobs

Danish container carrier Maersk said it had put in place “rigorous cost containment measures” during the year to ease the impact of challenging market conditions, including reducing headcount. members from 110,000 at the beginning of 2023 to about 103,500 today.

Maersk added: "Given the worsening price outlook in Ocean, Maersk is intensifying those measures and today introduce plans to further decrease the workforce by 3,500 positions, with up to 2,500 to be carried out in the coming months and the remaining to extend into 2024."

This is expected to reduce the Copenhagen-based shipping line's global workforce to less than 100,000 positions. Accordingly, the total expected restructuring costs are now expected to be 350 million USD, up from the 150 million USD announced in February.

“The adjustment of the workforce complements the decisive actions taken on cost containment throughout the year,” Maersk noted in its statement.

Maersk aims to reduce selling, general and administrative (SG&A) expenses by $600 million for 2024. Additionally, CAPEX spending has been revised downward for 2023 and 2024 and other measures under review, including continuing the stock buyback program into 2024, according to the company statement.

Mearsk Report Q3-2023 | Ocean highlights:

Read more:

• Sea-Intelligence: Global container demand 6-7% below GDP since 2019
   

Source: Phaata.com (According to Maersk | ContainerNews) 

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