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Shipbuilder Damen cuts 225 jobs in the Netherlands: 'Not due to cancellation of German frigate order'

Shipbuilder Damen cuts 225 jobs in the Netherlands: 'Not due to cancellation of German frigate order'

Shipbuilder Damen plans to cut 225 jobs in the Netherlands over the next year and a half to improve operational efficiency and long-term competitiveness. The company maintains that the decision is unrelated to the recent cancellation of a large German frigate contract or ongoing issues with other defense projects.

Shipbuilder Damen has announced plans to eliminate approximately 225 jobs out of its 4,000-person workforce in the Netherlands. The company stated that the reorganization is intended to streamline operations and enhance efficiency to remain competitive in a challenging and shifting global market. While the job cuts will occur across various divisions over the next twelve to eighteen months, the company aims to mitigate the impact through natural attrition, though it has not ruled out forced redundancies.

Management emphasized that this restructuring is not linked to the recent cancellation of a major contract to build six frigates for the German navy, which was scrapped earlier this year due to significant cost overruns and delays. Additionally, Damen is currently facing difficulties with a separate contract to build ASW frigates for the Netherlands and Belgium, which are also experiencing delays and increased costs. Employee representative organization CNV has described the announcement as a difficult blow for the dedicated workforce.

Based on reporting by ad. Translated and condensed by LocalHeadlines.

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