EMCC European Monitoring Centre on Change

Aibel

Company/Organisation:
Aibel

Geographic Location

Country: Norway

Company

Sector: Mining / quarrying
Mining and quarrying
09.10 - Support activities for petroleum and natural gas extraction
Number Employed: 5700

Employment Effects

Announcement Date: 03-03-2014
Planned Job Reductions min: 230
Type of Restructuring: Internal restructuring
Employment Effect Start: 01-04-2014

Additional Information

Aibel, a leading service provider to the Norwegian offshore oil and gas industry, is to cut at least 230 jobs in Norway. About 180 engineering and management jobs will be cut, mainly in Bergen, Stavanger, Harstad and Stjørdal. The rest of the reductions will be split between all of Abelia’s units in Norway. In addition, there will be reductions in staff in Singapore and in Petersfield, UK.

The restructuring is due to worsening market conditions since the start of 2014, especially following budget cuts in Statoil, a major customer. Aibel will have to secure new contracts to avoid additional downsizing.

The restructuring process starts immediately, and the dismissal period will be starting April 1st. Severance packages are not being considered at this point, and at least parts of the reduction will be accomplished by direct dismissals.

The ERM reported on job cuts at Aibel previously in 2009.