Sinagapore shipbuilding group Sembcorp Marine’s CEO Wong Weng Sun has volunteered to take a 50% pay cut as part of the group’s cost reduction measures.
In the meantime, other members of the management team will be taking a 10-15% pay cut while employees earning above S$1,800 ($1,293) per month will also take a 5% pay cut.
Sembcorp Marine reported a net loss of S$192m ($138m) for the first half of this year as the shipyard was heavily constrained by the outbreak of coronavirus.
Wong said the group’s immediate priority is to address urgent liquidity needs to fund operations amid the downturn in the offshore and marine industry.
In May, Sembcorp temporarily reduced the workforce at its yards by over 95% as part of its Covid-19 mitigation measures. The company also said the industry-wide cuts in expenditures have affected the group’s ongoing negotiations and finalisation of new orders, including the Siccar Point Cambo FPSO project.