SCOTLAND’S state-owned shipyard, Ferguson Marine, is to cut nearly a quarter of its total workforce, it has been announced.
Workers at the shipyard have been invited to apply for voluntary redundancy as the construction of the two CalMac ferries comes to an end.
The firm said that to “ensure the business remains competitive, efficient, and financially sustainable” during a transitional phase, up to 70 employees are expected to be cut through voluntary redundancies.
The Port Glasgow firm currently employs 283 staff, including 34 apprentices.
In March, the Scottish Government announced its plans to directly award the yard new orders for four smaller ships.
Following the announcement, Cabinet Secretary for Economy, Tourism and Transport Stephen Flynn said the voluntary redundancies scheme is part of efforts to “modernise the shipyard and put it on a more competitive footing”.
He added: “The action that the leadership team at Ferguson Marine is taking today is necessary to help secure a viable future for the yard, and that of commercial shipbuilding on the Clyde. This is alongside their efforts to upskill workers, bid for new contracts and opportunities with partners.
“I am assured that a reduced workforce will not impact the build of the MV Glen Rosa, which is on track to be delivered in quarter four 2026.
“Our intention to directly award four vessels continues to undergo full due diligence further to next steps which will be announced to Parliament in due course.”
Ferguson Marine was nationalised in 2019 and is the last commercial shipyard on the Clyde.
The shipyard delivered the MV Glen Sannox in November 2024, with the MV Glen Rosa due for completion by the end of this year.
It has recently completed a sub-contract for new Type 26 frigates for BAE Systems.
Earlier this year, the Scottish Government announced plans to award contracts to Ferguson Marine to build four new vessels: two ferries for Caledonian Maritime Assets Limited (CMAL), a Marine Protection Vessel (MPV) and a Marine Research Vessel (MRV).
At the time, the government said the contracts would provide a “bridge to the future” for the yard.
In a statement on Tuesday, bosses at Ferguson Marine said “due diligence” on the direct award is currently underway, and that proposed redundancies are designed to “address the size of the business and align skills across the yard”.
Graeme Thomson, CEO of Ferguson Marine, said the firm's “immediate focus remains the safe, high-quality handover of Glen Rosa in Q4 2026”.
He added: “However, as the vessel nears completion, we face an inevitable gap in workload while we work with the Scottish Government to make the relevant preparations to enable us to proceed with contract negotiations.
“Shipbuilding capability relies on continuity and while changes of this nature are difficult, taking proactive action now ensures we protect the long-term viability of the yard and remain lean, modern, and ready to cut steel on the new fleet as quickly as possible.
“We take our responsibility to our workforce and community incredibly seriously. By offering a voluntary redundancy path, we want to support team members who have given so much to shipbuilding on the Clyde as they consider their next steps.
“At the same time, we are doing everything in our power to ensure the yard is structured to offer secure, long-term careers once the new build programme gets underway.”