Damen Shipyards Group lays-off 150 employees from three ship repair and conversion yards in the Netherlands, as part of the undergoing reorganization against the adverse market conditions. The affected shipyard are Damen Shiprepair Rotterdam, Damen Shiprepair Van Brink and Damen Shiprepair Vlissingen. The company is working to optimize the efficiency of operations, as the market expectations for the short and medium term are not positive. The intention of Damen Shipyards Group is to complete the reorganization before summer 2017 and all the employees will be laid-off according to the local legislation and previously agreed social conditions.
“Large-scale market fluctuations are common for the ship repair sector – within which the Damen Shipyards Group has been active for over 40 years. The strategy of DSC focusses on diversification as well as developing new product/market combinations. However, the oil and gas market has decreased in such a way that has left DSC unable to fill the void with other activities”, said the press release of the Damen Shipyards Group. “There is no recovery in sight for commodity prices in general and oil and gas prices in particular and the resulting reduction in ship repair projects forces DSC to review its situation. Unfortunately, one of the consequences of this, is downsizing the number of permanent staff in all layers of the organisation, as well as reducing facility costs”, adds the statement.
All employees at the Damen Shiprepair Rotterdam, Damen Shiprepair Van Brink and Damen Shiprepair Vlissingen, as well as the workers’ council and trade unions, have been informed about the intention to reorganize.
Damen Shipyards Group is a globally operating company with more than 50 shipyards, repair yards, and related companies − as well as numerous partner yards that can build Damen vessels locally. The company is involved in ship construction as well as maintenance and repair activities. It has a wide product range, including tugs, workboats, patrol craft, cargo vessels, dredgers, mega yachts and fast ferries. Product design and engineering are carried out in-house and a broad range of designs is available.