Boskalis Announces Job Cuts and Fleet Reduction

Royal Boskalis Westminster N.V. has completed its fleet rationalization study announced earlier this year.

Based on the results of the study it has been decided to take 24 vessels out of service in the coming two years.

This will result in the loss of approximately 650 jobs worldwide during this period.

Peter Berdowski, CEO Boskalis: “After a few very busy years the market outlook for Boskalis has changed drastically as a result of continuing low energy and commodity prices. The volume of work in the market has fallen sharply and this is putting pressure on the utilization rate of our vessels.”

“Because we expect these market conditions to persist in the coming years it is essential that we adapt the size and composition of our fleet to this new reality,” added Berdowski.

With the completion of the study the decision has been made to take 24 vessels out of service in the 2016-2018 period, of which ten at the Dredging division and fourteen at the Offshore Energy division.

These will include trailing suction hopper dredgers, cutter suction dredgers, anchor handling tugs and heavy transport vessels. The fleet rationalization will be implemented through the scrapping, sale and lay-up of vessels.

The average age of the vessels earmarked for scrapping or sale is in excess of 30 years. Vessels offered for scrapping will be dismantled at certified shipyards in accordance with the Hong Kong Convention and Boskalis’ own standards.