Aker Solutions to adjust subsea capacity in Norway

Source:Aker Solutions
Aker notified employees that it has become necessary to reduce the workforce capacity in its Norwegian subsea business because of a continued market slowdown.
Photo Credit: Eva Gullerud, Aker Solutions

Aker Solutions notified employees that it has become necessary to reduce the workforce capacity in its Norwegian subsea business because of a continued market slowdown.

About 500 permanent positions at facilities in Fornebu, Stokke, Moss and Tranby in Norway may be affected. Adjustments will be made through normal employee turnover, reassignments to other parts of the company and redundancies.

“Activity in the Norwegian offshore services market has declined considerably over the past year as oil companies scale back spending and postpone projects,” said Per Harald Kongelf, head of Aker Solutions’ Norwegian operations. “This has made it necessary to reduce capacity in parts of our business.”

The adjustments come in addition to capacity reductions announced earlier this year of as many as 200 positions in the company’s subsea services business in Ågotnes, Norway, and about 300 positions in its Norwegian maintenance, modifications and operations unit. Outside of Norway, the company is reducing capacity by about 400 permanent positions this year, primarily in the subsea area.

Aker Solutions has also initiated a process to strengthen the structure of its global subsea business. It expects to provide more detailed information toward the end of the year.

“We see a need to streamline our organizational set-up to reduce complexity and boost efficiency,” said Alan Brunnen, head of the company’s subsea business. “This will enable leaner processes and strengthen overall operations.”

Aker Solutions has about 16,000 permanent employees in approximately 20 countries. About 8,000 employees are in the subsea area, of which around 3,000 are in Norway. The rest are in countries including Brazil, Angola, Malaysia, the U.S. and the UK.

The company is expanding internationally and is well-positioned in key subsea markets. Africa accounted for 37 percent of Aker Solutions’ NOK 44 billion order backlog at the end of the second quarter of 2015, compared with 30 percent for Norway, helped by major subsea contracts in Angola and Congo.

Did You Like this Article? Get All the Energy Industry News Delivered to Your Inbox

Subscribe to an email newsletter today at no cost and receive the latest news and information.

 Subscribe Now

Whitepapers

Storm Impact Analytics for Utilities

In recent years, increasingly volatile and extreme weather events have significantly impacted the...

Reach New Heights: Six Best Practices in Planning and Scheduling

These 6 best practices have created millions of dollars in value for many global companies. Learn...

Making DDoS Mitigation Part of Your Incident Response Plan: Critical Steps and Best Practices

Like a new virulent strain of flu, the impact of a distributed denial of service (DDoS) attack is...

The Multi-Tax Challenge of Managing Excise Tax and Sales Tax

To be able to accurately calculate multiple tax types, companies must be prepared to continually ...

Latest Energy Jobs

View more Job Listings >>

Archived Articles

PennEnergy Articles
2008 | 2009 | 2010 | 2011 | 2012 | 2013

OGJ Articles
2011 | 2012 | 2013

OGFJ Articles
2011 | 2012 | 2013

Power Engineering Articles
2011 | 2012 | 2013

Power Engineering Intl Articles
2011 | 2012 | 2013

Utility Products Articles
2011 | 2012 | 2013

HydroWorld Articles
2011 | 2012 | 2013

COSPP Articles
2011 | 2012 | 2013

ELP Articles
2011 | 2012 | 2013