South Korea’s Daewoo Shipbuilding & Marine Engineering Co. has launched another downsizing program ahead of additional capital reinforcement led by state-run Korea Development Bank and the Export-Import Bank of Korea.
On Thursday, the shipbuilder announced an additional reorganization plan to reduce 22 percent of its workforce through next year. It already cut one third of its employees last year.
The shipbuilder said under the additional reorganization program, 55 division heads were dismissed while 17 were newly appointed.
The number of departments at the company is 159 now down from 285 early last year.
After the downsizing plan, the shipbuilder’s annual revenue is expected to be lowered to 7 trillion won ($5.96 billion) with 8,000 payrolls in 2018 from 15 trillion won with 12,000 payrolls.
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