FORNEBU, Norway – Aker Solutions has notified employees of what the company termed “additional tough but necessary measures to raise competitiveness and win more work for its Norwegian maintenance, modifications and operations (MMO) business.”
Its Norwegian MMO employees will see temporary reductions in salaries. Starting in March, senior management will see their pay lowered by 10% while the remainder of the staff will see reductions of 5%. The adjustments will be reviewed after 12 months.
Per Harald Kongelf, head of Aker Solutions Norwegian operations, said: “We are leaving no stone unturned in our efforts to secure a sustainable future for our business. Reducing salary costs is one of multiple measures needed to safeguard our competitiveness and reinforce our ability to win more work in a market with unprecedented challenges.”
The Norwegian MMO business is being streamlined and staffing is being reduced across Norway amid the current tough market conditions, the company said. Aker announced in mid-January that as many as 900 positions may need to be removed unless more MMO work can be secured offshore Norway.
Knut Sandvik, head of MMO, said: “These are necessary adjustments to stay competitive and secure jobs in a challenging market. The measures are supported by labor unions.”
The company said that the more streamlined business will support leaner processes and bolster overall operations. It will build on the company’s core strengths in the MMO area, particularly within more complex modifications projects.
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