Icelandic container line Eimskip has announced "streamlining measures" on Tuesday that will see 73 staff made redundant.
Of the full-time employees to lose their jobs, 47 of them are based in Iceland.
All layers of the company are involved, including management, as it adjusts to the coronavirus pandemic.
Head of marketing and communications Edda Rut Bjornsdottir has been promoted to executive vice president of an integrated division of human resources, marketing and communications.
Elin Hjalmsdottir, previously executive vice president of human resources, has resigned.
"For the past fifteen months the company has taken many steps on its journey to streamline and integrate its operations, and a part of the measures taken today are linked to that journey," the boxship, reefer and ferry operator said.
"In addition, the uncertainty both in the Icelandic and global economy due to the Covid-19 pandemic has affected the extent of these measures."
Eimskip has already reducing sailings and capacity to save money during the outbreak.
The company will only operate eight ships instead of 10, by taking the 1,457-teu Godafoss and Laxfoss (both built 1995) out of service earlier than previously planned, which will lower fixed operating costs. It has also been closing or merging overseas offices.
Not an easy decision
"The company’s journey of integrating and streamlining the operation has not been easy, especially not regarding reduction of employees," chief executive Vilhelm Mar Thorsteinsson said.
"It has nevertheless been important considering the financial results in the last couple of years. The Covid-19 pandemic has also highly increased uncertainty that cannot be disregarded."
He added that the measures will help strengthen the company's and operations going forward.
"It should also be kept in mind that the company has invested considerably in automation and reformation of processes and working procedures which supports these measures," he said.
"We do not foresee further measures of this scale in [the] near future."
Thorsteinsson has asked the board to cut his salary by 10%.
He said that despite "these unprecedented times", Eimskip's logistic chain is working, its vessels are sailing and ports are open.
Its takeover by major shareholder Samherji, a fish processor, fell through earlier this month after the country's financial watchdog allowed the mandatory bid to be withdrawn due to the crisis.
