Maersk, a shipping company, plans to cut 10,000 positions due to the challenging container trade market

 Maersk, a shipping company, plans to cut 10,000 positions due to the challenging container trade market

According to the firm, the change would save $600 million by 2024.

The largest shipping business in the world, Maersk, said on Friday that it intends to cut 10,000 jobs as a result of what it called a difficult climate for logistics and container trade.

According to the firm, the change would save $600 million by 2024.

The news was made concurrently with the quarterly report presentation of Copenhagen-based Maersk, which showed earnings before taxes down to $691 million from $9.1 billion in the same time the previous year. According to the research, "challenging marketplace circumstances resulting in significantly decreased freight rates compared to the unreasonably high rates in 2022" .

AAP According to Vincent Clerc, CEO of Moller-Maersk, the corporation will keep streamlining its administration and activities.

"Our industry is facing a new baseline with subdued demand, prices getting back in line with historical levels, increasing inflationary pressure on our cost base," Clerc said. "Seeing the challenging times ahead, we intensified several cost- and cash-containment procedures to safeguard our financial performance."

In 2023, the company's revenue for the third quarter was $12.1 billion, whereas in 2022, it was $22.8 billion.

The business said that instead of -4% to -1%, it now anticipated annual worldwide container volume growth in the range of -2% to -0.5%.