Bad news for employees of this company as it plans to lay off 2000 workers due to…, not Ratan Tata’s TCS, Narayana Murthy’s Infosys, Amazon, Google, Microsoft, it is…
In the contemporary tech world, large-scale layoffs have become common. Several notable technology companies are laying off thousands of employees, not for performance issues but rather to carry out a company-wide restructuring of their workforce. Organizations, from small start-up companies to large global companies, are restructuring their workforce for cost savings, implementing new technologies, or reorganizing to address the constantly changing technology landscape.
Who is the company planning to lay off 2,000 employees?
Ørsted, the energy company from Denmark, has announced layoffs. Ørsted, one of the world’s biggest windfarm developers, announced on Thursday that it would cut approximately 2000 jobs from its global workforce by the end of 2027 through a combination of redundancies, natural attrition, and selling off parts of its business, as reported by the Guardian. This move aims to enhance the company’s competitiveness and focus more on offshore wind and European operations. Ørsted currently has approximately 8,000 employees worldwide and will reduce its workforce to about 6,000 by the end of 2027.
When will the job cuts take place? Where are most of the affected employees based?
The Oslo-based company, with a workforce of over 1,200 in the UK, aims to lay off 500 employees by the end of the year, 235 of which will be in the domestic market. Rasmus Errboe, the CEO of Ørsted, revealed his intentions to downsize the company just weeks after the Trump administration’s directive to halt work on a wind farm off the coast of Rhode Island caused the company’s stock price to sink to an all-time low.
The developer, in which the Danish state holds a 50% stake, was compelled to generate over $9bn in capital after “political hostility” in the US made securing adequate investors and funding for its future projects difficult.
STORY HIGHLIGHTS
- Ørsted, one of the world’s biggest windfarm developers, announced on Thursday that it would cut approximately 2000 jobs.
- It will cut approximately 2000 jobs from its global workforce by the end of 2027.
- Ørsted currently has approximately 8,000 employees worldwide.
- It will reduce its workforce to about 6,000 by the end of 2027.
“This is a necessary consequence of our decision to focus our business and the fact that we’ll be finalising our large construction portfolio in the coming years – which is why we’ll need fewer employees. At the same time, we want to create a more efficient and flexible organisation and a more competitive Ørsted, ready to bid on new value-accretive offshore wind projects,” Rasmus Errboe, chief executive of Ørsted, was quoted as saying by the Guardian.
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