Shipbuilding Merger May Cut Jobs

Wednesday, May 10, 2006
Britain’s three big shipbuilding and defense groups have held exploratory talks about creating a new company or alliance in a move that would put thousands of Scottish shipbuilding jobs under threat. BAE Systems and VT Group have tabled various alternatives for Britain's naval shipbuilding industry should they decide not to proceed with a bid for Babcock International, the warship builder and support services group. Under Takeover Panel rules, the two companies have until May 18 to decide whether to make an offer for Babcock. Alternative proposals could see the three shipbuilders take stakes in a new business or collaborate through a three-way alliance. The government endorsed the need for consolidation in the UK maritime sector in a defense white paper published in December. An alliance or combination would have far-reaching implications for Scotland's shipbuilding sector. The shipbuilding interests of BAE Systems and Babcock International are focused on Glasgow and Rosyth while VT Group is based in Portsmouth. BAE Systems Naval Ships employs 3,000 people at Scotstoun and Govan, while Babcock has 12,000 employees at Rosyth. Despite a current glut of orders, UK shipbuilding is forecast to have a severe oversupply problem in ten years' time. Steep job cuts are seen as inevitable. (Source: The Scotsman)
Maritime Reporter July 2015 Digital Edition
FREE Maritime Reporter Subscription
Latest Maritime News    rss feeds

Shipbuilding

GE Gas Turbines to Power US Navy’s New Destroyers

The U.S. Navy’s new DDG 121 and DDG 122 Arleigh Burke-class destroyers will be powered by eight LM2500 marine gas turbines supplied by GE Marine, who also received

Strategic Marine: Stock Program Full Power Ahead

Strategic Marine confirmed its stock program of personnel transport vessels is market-ready.  “Our stock program currently incorporates two class leading designs

GasLog Orders Two LNG Carriers

GasLog Ltd. today announced that it has ordered two new 174,000 cubic meter LNG carriers from Hyundai Heavy Industries Co., Ltd. ("Hyundai") in South Korea.

Ports

Norwegian Epic to Sail from Port Canaveral

Port Canaveral will homeport Norwegian Cruise Line’s (NCL) largest ship and currently the third largest in the world—the Norwegian Epic—starting in November 2016,

MacArthur Lock Dewatered for Emergency Repairs

The U.S. Army Corps of Engineers, Detroit District, announced the MacArthur Lock, located on the Soo Locks at Sault Ste. Marie, Mich., is experiencing mechanical

Renovated Research Vessel Sets Sail

French scientific research vessel completely renovated in life extension project. French research vessel Marion Dufresne II left Damen Shiprepair Dunkerque (part

 
 
Maritime Security Maritime Standards Naval Architecture Navigation Pipelines Pod Propulsion Salvage Ship Simulators Shipbuilding / Vessel Construction Sonar
rss | archive | history | articles | privacy | contributors | top maritime news | about us | copyright | maritime magazines
maritime security news | shipbuilding news | maritime industry | shipping news | maritime reporting | workboats news | ship design | maritime business

Time taken: 0.1791 sec (6 req/sec)