Malaysian offshore services giant Bumi Armada is reorganising its OSV business unit, which is likely to see 40% of the department’s staff lose their jobs.
The move was announced to staff this week by CEO Leon Harland, who described the reorganisation of the business unit as a difficult decision “made to ensure the group, as a business, continues to sustain itself”.
Harland told employees that due to the reorganisation certain positions will be affected and the company will announce the retrenchment of employees who aren’t able to be reassigned within the group.
Splash understands the cuts will affect up to 40% of those employed within the OSV business unit.
“It is with sincere regret of having to share this announcement. The current depressed state of the OSV sector requires us to react to the situation such that as a business we remain profitable, even in challenging times, and focused on efficiency so that we continue to deliver on our promises to customers and shareholders,” the note from Harland to staff stated.
Bumi Armada has over 2,000 employees in total and its offshore marine services division runs a fleet of over 50 vessels, comprising 49 OSVs and four SC units.