Chinese bulk shipping operator CSC Phoenix’s future operations has become uncertain with the company facing mass employee resignations.
According to a release by CSC Phoenix, 42 out of 49 employees from the company’s shipping operation team have submitted letters of resignation, including Lou Xiaoyun, general manager of the company’s shipping department. The resigning employees had been serving key roles in the company’s operations and CSC Phoenix reckons it might be unable to find suitable replacements in the short term.
The company has set up an emergency team to work on possible solutions to the issue.
CSC Phoenix’s operations crisis first started after the company reported capacity shortage issues at the end of May as it failed to extend new charter contracts for a total of 13 bulkers with its former parent Sinotrans & CSC.
Following the return of the vessels, the company’s fleet has downsized to four self-owned vessels and two chartered vessels with total capacity of around 175,000 dwt.
In May, CSC Phoenix acquired two 2002-built handymax bulkers, the Astra and the Ocean Treasure, which are expected to be delivered before June 20.