The losses are in addition to 400 full-time job cuts announced last September. A further 200 people on short-term contracts have also been axed in recent months. Rolls-Royce said it does not envisage more restructuring at Parsons, which currently employs 2,200, during 1995. The company supplies complete power generation systems and steam turbines.
Mike Boden, managing director of Parsons Power Generation Systems, said: "This is necessary to improve our competitive position, and will not result in a reduction of our capability to undertake new projects worldwide, nor restrict the growth of our significant spares and servicing business."