In view of continued difficult business and economic conditions in the oil and gas market, Subsea 7 will start a second phase of global resizing and cost reduction measures.
The company plans to resize its global workforce to approximately 8000 by early 2017, down from the current level of 9200. Consultation with employees and employee representatives will take place on a local basis and consultation processes have begun in Norway and the UK.
Reducing the Fleet
Subsea 7's fleet of active vessels will be managed commensurate with the projected workload, while retaining capability and maintaining a global presence. Up to five vessels are scheduled to leave the current fleet by early 2017, based on stacking owned vessels and returning chartered vessels when existing contracts expire.
New Organisational Structure
With effect from 1 July, the company will change the structure of its organisation. This will replace the 'Southern Hemisphere and Global Projects' and 'Northern Hemisphere and Life of Field' Business Units and Corporate segment. The new organisational and reporting segments will comprise:
- SURF and Conventional,
- i-Tech Services and
- Corporate (including Renewables and Heavy-lift).
Under the new organisational structure, John Evans, COO, and Øyvind Mikaelsen, appointed Executive Vice President – Commercial, will report to Jean Cahuzac, CEO. Steve Wisely will be appointed Senior Vice President i-Tech Services, reporting to John Evans.
