Aecom Europe, formerly Faber Maunsell, is to cut a further 350 jobs in the UK and Europe, citing the ongoing effects of the recession.
This is on top of 119 job cuts made last year.
In a letter to staff issued today by Aecom’s UK and Europe chief executive Ken Dalton, 350 jobs are to be cut due to a falling order book in the last four months of 2009.
The group laid-off 4% of staff in January due to the effects of the recession. These current cuts will represent some 8.8% of the remaining staff.
“We regret we have therefore had to take the decision to implement a further redundancy programme across each of our Business Lines and Support Services and this reduction will apply across all grades.
“This will be more significant than on previous occasions with approximately 350 people being affected,” reads the letter.
Dalton said: “During the early parts of the summer we were hopeful that the actions we had taken during the course of the year were sufficient to sustain the level of business that was being won by the company.
“However, during the last four months we have seen a further downturn in our order book and the outlook across many of our sectors is not predicted to recover for some time,” he said.
Areas hit hardest by the recession were cited as:
- Private Sector Buildings
- Water, due to delays: “in terms of AMP5 implementation”
- Public Sector in Transportation infrastructure
- Design & Planning
Aecom Europe earned £188M in fees 2008, half in public sector including transportation, £67M in building, and £17.8M in water.
Staff will be notified in the run-up to Christmas as to whether they will be placed on redundancy consultation. “In locations where we have more than 19 positions at risk we will enter into collective consultation,” said Dalton, although he pledged to second staff wherever possible: “On a temporary or full time basis or indeed the ability to transfer work where some regions are not so affected by a downturn.”
The UK and Ireland market was described as: “extremely difficult and any recovery will be fragile over an extended period.”
The Italian market was said to be similarly depressed, with clients postponing projects.