Maersk Line, Danish shipping company, announced the reducing of land based staff by at least 4,000 positions by the end of 2017. The press office of AP Moller-Maersk Group, the owner of Maersk Line, reported this.
Over the next two years, Maersk Line expects to lower the annual Sales, General & Administration (SG&A) cost run-rate by USD 250 million with an impact of USD 150 million in 2016. SG&A savings will be derived from already initiated transformation projects and the standardisation, automation and digitalisation of processes.
“We are on a journey to transform Maersk Line. We will make the organisation leaner and simpler. We want to improve our customer experience digitally and at the same time work as efficiently as possible,” says Søren Skou, the CEO of Maersk Line.
Today, Maersk Line has 23,000 land based staff globally.
Maersk Line also reduces its network. The closure of four services ME5, AE9, AE3 and TA4 has been initiated. Such a move had an impact on the Ukrainian seaport of Illichivsk.