STX Finland to lay off 400 workers

The permanent layoffs, expected after statutory talks with workers and union representatives, likely will begin early next year, shipyard director Jari Anttila said.

"The shipbuilding situation has been weak for some time, and we have said that we will have to lay off more workers after completing the Oasis of the Seas," Anttila said.

The 16-deck Oasis of the Seas, commissioned by Royal Caribbean, sailed out on its maiden voyage from the Turku yard to Florida on Oct. 30.

The euro1 billion ($1.5 billion) liner, with 2,700 cabins that can accommodate more than 8,000 people, took two-and-a-half years to build. It has four swimming pools, an amphitheater, basketball courts and an ice rink on board.

The Finnish yard is currently building a sister ship for Royal Caribbean — the Allure of the Seas — which is due to be launched in 2011. Spanning 1,200 feet (360 meters) from bow to stern, it will be the same size as the Oasis of the Seas with similar features.

About 2,000 workers are working on the new ship — about half of them STX Finland employees.

"These two projects have kept us going, but things look bad," Anttila said. "We might even have to lay off many more after the Allure is completed."

The Turku yard, in southwestern Finland, employs 2,300 people, including office personnel. Currently, 320 yard workers are temporarily laid off at the shipyard.

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