Matson cutting 60 jobs

U.S. mainland-to-Hawaii container carrier Matson Navigation Co. said it would pare staffing by 10 percent.

   Matson plans to reduce its non-union headcount by about 60 positions, augmenting position eliminations that resulted from hiring freezes adopted in 2007 and 2008. Over the past several years, Matson has been diligently implementing cost reduction measures across the board, without undercutting the reliability of its service, said Matthew Cox, president of Matson Navigation Co. We remain fully committed to delivering industry-leading ocean transportation services in all of our trade lanes, and the actions we are taking will be seamless to our customers. Measures involving employees are difficult; however, it is important that Matson realign its cost structure to current demand.   Matson's announcement follows one in November that Horizon Lines would reduce its non-union workforce by at least 10 percent, eliminating at least 70 of 700 jobs as part of an effort to reduce annual labor costs $7 million to $10 million.

   W. Allen Doane, chairman and chief executive officer of Matson parent Alexander and Baldwin, said, Other measures to be implemented over the coming months at various A&B business units include: elimination of salary increases, continued reductions in general and administrative expenses, and reductions in incentive award targets, profit sharing targets and workforce levels. And while fourth quarter and full-year 2008 earnings are expected to be good, these and other proactive measures are necessary in view of the current economic climate.

Source: American Shipper