Kvaerner axes 3,000 workers

SOME OF the 6,000 UK employees of Kvaerner, the Anglo-Norwegian engineering giant, can expect to lose their jobs following the announcement yesterday of world-wide cutbacks.

The decision to reduce the company's workforce by 3,000 over the next six months follows over-expansion in its oil and gas divisions, which got into trouble because of falling energy prices.

The move is part of a widescale restructuring, which led to the sale this summer to GEC Marconi of the company's ship-building operation at Govan on Clydeside. Kvaerner has already indicated it wants to halve its capacity for rig-building and concentrate more on the increasingly profitable technology side of the division which makes seabed measuring equipment, communications systems and other products.

Kvaerner, which has two rig-building yards in Methil, Fife and in Port Clarence on Teesside, said it was too early to say where the job losses would be. However, the threat seems least in Methil, which has an order book full until the middle of next year and has been recruiting staff.

Port Clarence's future has been causing concern because it currently only has work until about early October and redundancy talks are under way. One of two plants in Norway is also likely to close.

So far this year Kvaerner has off-loaded pounds 335m worth of businesses. It has a further 11 shipyards to sell before it makes its total exit from shipbuilding.

The company reported a pre-tax loss for the six months to 30 June of 4.81bn crowns (pounds 382m) against a profit of 266m crowns the previous year.

Yesterday's announcement was, however, offset by news that more than 1,500 new jobs are expected to be created in Scotland's biotechnology sector over the next six years.

Quintiles Scotland, a US-based pharmaceutical products company, plans to take on 1,562 staff. It employs about 1,000 in Bathgate, Livingston and Riccarton, near Edinburgh.

News
peoplePaper attempts to defend itself
Voices
voicesWe desperately need men to be feminists too
Life and Style
food + drink
Arts and Entertainment
British actor Idris Elba is also a DJ and rapper who played Ibiza last summer
film
PROMOTED VIDEO
News
ebooksAn unforgettable anthology of contemporary reportage
Latest stories from i100
Have you tried new the Independent Digital Edition apps?
Independent Dating
and  

By clicking 'Search' you
are agreeing to our
Terms of Use.

iJobs Job Widget
iJobs Money & Business

IT Project manager - Web E-commerce

£65000 Per Annum Benefits + bonus: Clearwater People Solutions Ltd: If you are...

Trainee / Experienced Recruitment Consultants

£20000 - £25000 per annum + OTE £40,000: SThree: SThree are a global FTSE 250 ...

Trainee Recruitment Consultant - Soho

£20000 - £25000 per annum + OTE £40000: SThree: As a Recruitment Consultant, y...

Trainee Recruitment Consultants - Banking & Finance

£20000 - £25000 per annum + OTE £40,000: SThree: SThree Group have been well e...

Day In a Page

Secret politics of the weekly shop

The politics of the weekly shop

New app reveals political leanings of food companies
Beam me up, Scottie!

Beam me up, Scottie!

Celebrity Trekkies from Alex Salmond to Barack Obama
Beware Wet Paint: The ICA's latest ambitious exhibition

Beware Wet Paint

The ICA's latest ambitious exhibition
Pink Floyd have produced some of rock's greatest ever album covers

Pink Floyd have produced some of rock's greatest ever album covers

Can 'The Endless River' carry on the tradition?
Sanctuary for the suicidal

Sanctuary for the suicidal

One mother's story of how London charity Maytree helped her son with his depression
A roller-coaster tale from the 'voice of a generation'

Not That Kind of Girl:

A roller-coaster tale from 'voice of a generation' Lena Dunham
London is not bedlam or a cradle of vice. In fact it, as much as anywhere, deserves independence

London is not bedlam or a cradle of vice

In fact it, as much as anywhere, deserves independence
Vivienne Westwood 'didn’t want' relationship with Malcolm McLaren

Vivienne Westwood 'didn’t want' relationship with McLaren

Designer 'felt pressured' into going out with Sex Pistols manager
Jourdan Dunn: Model mother

Model mother

Jordan Dunn became one of the best-paid models in the world
Apple still coolest brand – despite U2 PR disaster

Apple still the coolest brand

Despite PR disaster of free U2 album
Scottish referendum: The Yes vote was the love that dared speak its name, but it was not to be

Despite the result, this is the end of the status quo

Boyd Tonkin on the fall-out from the Scottish referendum
Manolo Blahnik: The high priest of heels talks flats, Englishness, and why he loves Mary Beard

Manolo Blahnik: Flats, Englishness, and Mary Beard

The shoe designer who has been dubbed 'the patron saint of the stiletto'
The Beatles biographer reveals exclusive original manuscripts of some of the best pop songs ever written

Scrambled eggs and LSD

Behind The Beatles' lyrics - thanks to Hunter Davis's original manuscript copies
'Normcore' fashion: Blending in is the new standing out in latest catwalk non-trend

'Normcore': Blending in is the new standing out

Just when fashion was in grave danger of running out of trends, it only went and invented the non-trend. Rebecca Gonsalves investigates
Dance’s new leading ladies fight back: How female vocalists are now writing their own hits

New leading ladies of dance fight back

How female vocalists are now writing their own hits