Bankrupt South Korean Shipping Giant Hanjin to Lay Off 400 Workers
SEOUL — Bankrupt South Korean shipping giant Hanjin said Oct. 20 it plans to lay off 400 workers — more than half of its land-based staff — as it attempts to right its corporate ship.
The layoffs were announced on top of plans to sell off rights to some key routes, according to a company spokeswoman, confirming media reports that already had speculated on the cost-cutting measures.
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It was not clear if those to be laid off would receive any kind of compensation.
Hanjin, the world's seventh-largest shipbuilder, employs 700 workers at sea. The August announcement of its bankruptcy disrupted supply chains worldwide and left several ships adrift as ports were unwilling to take on a ship with no guarantee that docking fees would be paid.
Of the 97 ships struck, 78 had managed to unload their cargo by Oct. 19.
