Plenty more red ink to come imo. From The Oz on Friday:...

Plenty more red ink to come imo. From The Oz on Friday:

WorleyParsons staff prepare for 30-40pc cuts to pay

• The Australian
• 12:00AM August 12, 2016
  
  
  GRETCHEN FRIEMANN
  
  Mergers & Acquisitions Editor
  Sydney
  
  

As investors in engineering giant WorleyParsons collectively hold their breath in the lead up to the company’s results later this month, there is speculation staff have been asked to accept pay cuts of 30-40 per cent in response to the weak demand for the group’s services from multinational energy groups.
After WorleyParsons hired external consultants Bain & Co to help it deliver on promises to cut $180 million in costs out of the business over the next 12 to 18 months, the whisper is staff have been given the choice to take the pay cut or a redundancy. Those in the gun are said to be at the higher end of the salary range in the company.
Worley has already cut thousands of jobs worldwide in response to the downturn. And it is not the first time wages have been cut — six years ago employees reportedly received pay cuts of up to 10 per cent.
Given its shares have risen more than 50 per cent since the start of the year, it is little surprise that a big chunk of its shares are currently held by short-sellers.
Talk continues of the company needing to raise equity because of its high levels of debt. In February, the group denied it was planning any raising.