Maersk’s Restructuring Set To Affect Thousands of Jobs

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  • Maersk major restructuring to affect about 3,400 jobs.
  • Separate entities Safmarine and Damco to be incorporated into the group. 
  • 27,000 jobs will be affected by the broader restructuring with “small number” of direct cuts.
  • Hamburg Sud and Alianca will remain independent brands.
  • Maersk to accelerate cost cuts towards Covid-19 crisis plan.

Maersk plans a major restructuring that is set to affect thousands of jobs at the organisation, says an article published in Bloomberg Quint.

Units cease to exist

World’s largest container shipping company, A.P. Moller-Maersk A/S is planning a major restructuring of its organization.

The mentioned restructuring is set to affect thousands of jobs at the organisation. 

About restructuring

Cease to exist

Maersk said its Safmarine and Damco units will cease to exist as separate entities. They will be incorporated into the group. 

Brands to remain independent

Hamburg Sud and Alianca will remain independent brands, it said.

How will jobs get affected?

It was reported that the changes will affect about 3,400 jobs, which the company has since confirmed. 

According to Maersk , about 27,000 jobs will be affected by the broader restructuring, of which a “small number” will be direct cuts. 

Seamless supply chain

Maersk said, the new organizational structure will provide its clients with a “more seamless experience across your supply chain”. 

Pandemic tensions

Maersk, which transports about 15% of the globe’s seaborne freight, is adapting its business to a world in which a pandemic. 

It added, the ongoing trade tensions are threatening demand for its services. 

Covid crisis plan

The company said last month it went into the Covid-19 crisis with a plan to accelerate cost cuts, to help sail through the tough pandemic period.

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Source: Bloomberg Quint

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