Odfjell Announces Personnel Reductions

In an announced effort to improve its financial results through a more competitive cost structure, Odfjell SE began a review of all aspects of its business model in May 2014 targeting organizational changes to increase competitiveness in the chemical tanker market.

The company’s board has today approved a restructuring plan which, fully implemented, is estimated to improve the net result by in excess of $100 million on a yearly basis within 2016. The cost-saving initiatives are related to operating expenses, general and administrative expenses, trade optimization and bunker consumption, the company said.

According to Odfjell, the reorganization will result in a reduction of up to 85 positions at the office in Bergen of which 32 are already concluded through attrition and early retirement. There will also be organizational changes at Odfjell’s offices abroad. Relocation of administrative tasks and reduction of Northwest European officers on ships are also elements of this reorganization.