Fred Olsen has announced today that the company will be laying off personnel and reducing the timetables on all routes from September to deal with the economic crisis and the high prices of fuel. This is part of a strategic plan intended to prepare the company for the hard times which it sees coming.
The press release said that Fred. Olsen S.A. is working on the hypothesis that economic activity is experiencing a significant stagnation, which will reduce demand on all routes, and which requires palliative measures to avoid a situation where the future of the company is in danger.
Amongst a range of measures, the most significant is the reduction of personnel, which will be achieved through a temporary suspension of work. Around 14% of the workforce will be affected. It appears that discussions with union representatives are currently place, no doubt in the hope that the majority of the suspensions will be voluntary.
In addition, from September, services will be "adapted to demand", though details are not yet available of what this precisely means.
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