Type
Closure
Country
Sweden
Region
Location of affected unit(s)
Sector
Transportation / Storage
Land, Water And Air Transportation
Water Transport
50.10 - Sea and coastal passenger water transport

509 jobs
Number of planned job losses
Job loss
Announcement Date
3 July 2020
Employment effect (start)
3 July 2020
Foreseen end date

Description

The shipping company Eckerö has started negotiations with trade unions for 509 job cuts, following the announcement of the closure of one of their affiliate companies in Sweden, Birka Cruises. Employees affected by the closure are employed by Eckerö. 43 of the affected employees work at the head office in Stockholm with the remaining 466 employees working onboard.

Birka Cruises has operated daily cruises in the Swedish archipelago and multi-day cruises around the Baltic area for 49 years. All activity has been closed since March 2020, because of the COVID-19 pandemic. The marketing director of Birka Cruises argues that the business has specialised in cruises for pleasure which makes it difficult for the company to survive during crises.

Birka Cruises is a part of the Finnish shipping group Eckerö, based in Mariehamn in the Åland islands. 


Sources

Citation

Eurofound (2020), Eckerö , Closure in Sweden, factsheet number 101977, European Restructuring Monitor. Dublin, https://restructuringeventsprod.azurewebsites.net/restructuring-events/detail/101977.