3,500 employees are set to lose their jobs at Denmark’s Maersk after it saw a plunge in net profits and revenue as a result of a sharp fall in freight rates.
Between July and September 2023, the shipping and logistics company saw its profits vastly drop from $521 million to $8.9 billion a year earlier.
Maersk’s SEO comments, “Our industry is facing a new normal with subdued demand, prices back in line with historical levels and inflationary pressure on our cost base.”
At the start of 2023, Maersk’s staff levels were at 110,000. Now, the level has reduced to “around 103,500 today.”
“Maersk is intensifying those measures and today introduce plans to further decrease the workforce by 3,500 positions, with up to 2,500 to be carried out in the coming months and the remaining to extend into 2024,” explained the Danish company.