Rolls-Royce cuts 600 marine jobs

Rolls-Royce says the future prospects for the marine business remain bright

Rolls-Royce said it plans to cut 600 jobs in its marine unit by the end of the year, in response to "challenging market conditions".

The reduction will be global, but half will be in Norway, where most employees and manufacturing are located.

The marine business employs about 6,000 people in 34 countries.

Mikael Makinen, president of the marine division, said: "The effect of low oil prices means we have to continue to look for further efficiencies.

"The future prospects for the marine business remain bright, and we are focused on maintaining our position as a technology leader, but we must drive further cost reduction today so that we are ready to grow tomorrow," he added.

The reductions announced are in addition to programmes already under way to consolidate manufacturing at several Rolls-Royce locations in the UK, US, Norway, Sweden and South Korea.

Last November, the company said it would cut its headcount by 2,600 jobs, mainly in its aerospace division.