Malaysian International Shipping Corporation (MISC) is laying off some 1,400 employees worldwide this year following its exit from the container shipping business, Seatrade Asia online reports.
The second phase of retrenchment will be carried out on 30 June after a first phase was executed on 31 March, according to local media reports.
The company said it has extended a reasonable severance package to affected staff and provided support to assist the affected employees in managing the change in their careers.
MISC, the shipping arm of state oil firm Petronas, announced its exit from the liner business last November due to the larger-than-expected investment necessary to stay relevant in the industry.
“Our focus in recent years has been on providing maritime and transportation solutions for the energy sector, and hence, the bulk of our resources are dedicated towards growing our energy-based business segments,” said Fiona Clare Pereira, group corporate affairs general manager at MISC.
“Notwithstanding the present depressed freight environment, we see growth prospects for both the petroleum/chemical tanker and LNG tanker markets over the longer term,” she said.
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