Rolls-Royce Marine to shed 400 jobs as focus turns to R&D

Rolls-Royce plans to further transform its marine business to deal with the continuing impact of the sharp fall in oil prices, resulting in the loss of a further 400 jobs worldwide.

The company said in a statement that is would increase investment in research and development and further efficiencies, while building on cost reductions carried out over the past two years. There will be a focus on improving competitiveness by reducing costs seeing 400 staff to go in addition to the 600 announced in May.

Mikael Makinen, president – marine for Rolls-Royce, said: “Reducing our workforce is never an easy decision, but the continued weak oil price, and the need to become more competitive, means it is necessary, if we are to build a strong base from which we can successfully grow this business in the future.”

Rolls-Royce said it expects the proposals to generate a full year saving of £40m ($61m), with incremental benefits from 2016 onwards with much of the saving to be invested in increased research and development.

Sam Chambers

Starting out with the Informa Group in 2000 in Hong Kong, Sam Chambers became editor of Maritime Asia magazine as well as East Asia Editor for the world’s oldest newspaper, Lloyd’s List. In 2005 he pursued a freelance career and wrote for a variety of titles including taking on the role of Asia Editor at Seatrade magazine and China correspondent for Supply Chain Asia. His work has also appeared in The Economist, The New York Times, The Sunday Times and The International Herald Tribune.
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