Maersk layoffs: Shipping giant to cut 1,000 jobs after revenue sinks — here’s what we know
Maersk said on Thursday it would lay off 1,000 corporate employees as the shipping giant seeks to cushion the impact of worsening freight rates following the gradual reopening of Red Sea routes.
The Denmark-based company announced lower revenue for 2025 and warned that the industry is struggling with overcapacity, a trend that could continue this year. Following the announcement, the company’s shares fell.
Following the announcement, the company’s shares decreased by 5.73% to 15,065 Danish Krone. Maersk is traded on the NASDAQ Copenhagen Stock Exchange.
Maersk said it took these steps to “maintain strong cost discipline” and “reduce the company’s corporate expenses” by simplifying the organisation. It also plans to focus on the use of artificial intelligence applications, Bloomberg reported.
How many positions will be affected worldwide?
Maersk’s planned 1,000 job cuts are equivalent to 15% of roles across corporate functions, but less than 1% of the total workforce. Maersk has approximately 100,000 employees worldwide, according to the agency report.
According to the company, the annual cost cut will be $180 million. Maersk reported a decline in revenue from $55.5 billion in 2024 to $54 billion last year, even as shipping volumes increased.
The company said volumes rose 4.9% in line with the overall market, but profits still fell as shipping prices fell as too many ships followed limited demand.
Net profit halved from $6.1 billion in 2024 to $2.7 billion. Maersk said this was mainly due to a “significant decline” in Ocean shipping earnings, which fell by nearly a third to $6.3 billion.
What caused the decline in revenue?
Its latest earnings report showed that the company reported its lowest net profit in 2025 in five years.
“In 2025, global trade continued to be shaped by unprecedented and persistent fluctuations,” the company said. “The continued closure of the Red Sea, renewed tariffs and ongoing geopolitical tensions have disrupted supply chains and increased uncertainty.”
Operating profit (EBIT) totaled $3.5 billion for 2025, beating the $3.2 billion analysts expected, according to FactSet; but it represents a sharp decline from the $6.5 billion the company reported for 2024.
Maersk expects shipping volumes to increase between 2% and 4% for 2026, but given projected shipping rates this will likely lead to a further decline in operating profits. The company said next year’s operating result could range from a loss of $1.5 billion to a profit of $1 billion.
AP Moller-Maersk is an integrated container logistics company. Headquartered in Copenhagen, the company connects and simplifies supply chains in more than 130 countries.
