Leading German-based offshore turbine developer Adwen has confirmed plans to internally restructure its business, cutting over 250 jobs as part of larger restructuring plans developed by parent company Siemens Gamesa.
In the early part of 2015, Spanish business Gamesa announced that is was partnering with French company Areva to develop an offshore wind turbine developer, manufacturer, installer and operator. The resulting outcome was Adwen, which had an almost instant impact on revenue at Gamesa, generating over £18 million in net profit.
At the end of last year, the newly established Siemens Gamesa confirmed that after only a few months after the merge it would commence restructuring to solidify its financial position.
This included a total of 6,000 jobs reductions across 24 nations. Siemens Gamesa explained the move was a necessary measure that needed to take place to solidify its place as a leader in the wind market.
Adwen has followed a similar path, reducing its total workforce from approximately 480 to 260 permanent positions. The restructuring is due to be completed by September 2020. Adwen has accomplished a lot in a relatively small space of time. This includes the development of the longest turbine blade in the world and the three offshore wind farms in the North Sea and an additional site in development in the Baltic Sea. Adwin has been unable to capitalise on the booming offshore market and as a result, is focusing its attention on their existing turbines and focusing their efforts on integrating with Siemens Gamesa.
Hans-Rolf Huppert, the MD, and CFO of Adwen explain that the fall in new orders has put the business in a challenging situation. Huppert highlights that the proposed changes were much needed with rising capacities and costs in the wind market, Carsten Konig, the MD, and CEO of Adwen explain the personnel changes are a challenging one and emphasise that Adwen will work closely with all employees to deliver a fair strategic plan as quickly as possible.
Originally appeared in Offshore wind business Adwen to reduce workforce by more than half