Princess Yachts cuts 300 workers

Princess Yachts cuts 300 workers

By IBI Magazine

Princess Yachts said it intends to make 316 workers redundant, including 261 cumpulsory job losses. The UK builder, which employs 2,100 workers, informed the workers on Friday of the job cuts.

According to a story in the Plymouth Herald, the cuts are to be made "across the board" and the laid-off workers will leave in June. Princess has facilities in Stonehouse, Coypool, Langage and Lee Mill.

The job cuts are less than had been anticipated when Princess announced in March that it would be making cuts. At the time, the company said that up to 450 jobs were likely to go. The company said it was able to retain staff because it cut sub-contractor work and has decided to develop larger projects. The paper reported that 56 of the workers are leaving voluntarily.

"We've been able to mitigate a lot of (the job losses)," managing director Chris Gates told the paper. "It's a blow, but not as bad as it could have been, that's for sure. We'll be building some larger craft. We're searching for those orders. We're putting more people into development to bring our product forward."

The company warned workers in March that it would make cuts in "order to strengthen the company in the current financial climate."

Gates adds: "We are committed to continued investment in the Plymouth area and in our people, but must meet the challenges being seen across all industries and match our production capacity to the changing demand. The company is now in a position to plan for growth and remain one of the largest employers in the area, reinforcing its philosophy of long term stable employment."

(26 May 2009)