Rolls-Royce, a British aviation engine manufacturer, announced on Tuesday that it expects to cut up to 2,500 positions worldwide, or around 6% of its workforce.
“It is estimated that 2,000-2,500 roles will be removed globally” under “plans for a simpler, more streamlined, organisation”, the group said in a statement.
Tufan Erginbilgic, who took over as CEO at the beginning of the year, stated that the corporation was “building a Rolls-Royce that is fit for the future.”
“That means a more… efficient organisation that will deliver for our customers, partners and shareholders.”
The latest restructure, according to the statement, would “assist Rolls-Royce in building enhanced capabilities in key areas such as procurement and supply chain management, ensuring they are as strong as the company’s engineering and technical excellence.”
Previous CEO Warren East had cut more than 9,000 positions and began a big divestiture program in 2020 in order to avoid potentially disastrous pandemic effects across the aviation industry.
Rolls-Royce announced a first-half net profit of £1.2 billion ($1.5 billion) in August, compared to a loss after tax of £1.6 billion the previous year.
Erginbilgic, a dual British and Turkish national, worked at BP for more than 20 years.