Meyer Turku downgrades output plans, cuts jobs

The revision of the shipyard’s capacity will have knock-on effects on the production schedule of the seven newbuilding projects on Meyer Turku’s order book, the shipyard noted. The exact changes to the building and delivery times of the seven ships, which include three vessels for Carnival, were under negotiation with the shipyard’s customers.

“The corona pandemic has changed the situation unexpectedly and totally. We are facing the fact that the corona-caused pause in cruising requires to stretch the order book,” Jan Meyer, ceo of Meyer Turku said.

The company was also revising proposed reductions to the shipyard’s workforce, which had averaged almost 2386 in 2019. The group was seeking to permanently lay off 450 people at the shipyard. A further 900 employees would be affected by different proposals, including temporary layoffs, working time reductions, and other arrangements. The Finnish government introduced temporary revisions to the country’s labour laws on 8 April, streamlining consultation processes.

The company also announced that it had made a loss of EUR109.7 million in 2019. The loss was largely connected with delays in the delivery of Costa Smeralda for the Carnival group, as reported here, along with future provisions.