PROGRAMMED Group says it has noticed reduced demand for its maintenance services in some sectors, and has made some staff in the Workforce and SWG divisions redundant.
Programmed Maintenance Services says it will also merge some activities and functions into common premises to save on office lease and staff expenses. This restructure has resulted in more redundancies.
According to Programmed Maintenance Services, it will complete all the changes by 31 March 2009, resulting in redundancy costs of $3.4m, while achieving $10m in annual savings.
Programmed Maintenance Services claims there is reduced maintenance demand from the resources sector, and the mining and transport industries. However, it is receiving increased demand from the food retailing and government sectors due to the Federal stimulus.
It is also expecting strong growth in the marine manning and vessel management business servicing the offshore oil and gas industry, as well as its facility management division, as maintenance is required by companies to stay in business.
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