Altus Intervention, an Aberdeen based well intervention specialist that employs 563 people, is to cut up-to 40 jobs from their UK operation Oil and Gas People has learned.

The cuts were confirmed yesterday at the companies fourth consultation meeting held at their Aberdeen HQ. The cuts are in addition to 10 voluntary redundancies that have already been confirmed.

The company has so far during the consultation process managed to trim costs by a reported £1.8m with the following changes confirmed.

•Radius Allowance removed – Saving £500,000
•Pension Contribution cut by 2% – Saving £500,000
•Death in Service reduced to 4x salary – Saving £100,000
•Income Protection Insurance Cut – Saving £100,000
•On Call payments removed – Saving £100,000
•Voluntary Redundancies – Saving £500,000

The meeting agenda seen by Oil and Gas People contains this statement in relation to the compulsory redundancies:

“It has been identified that Compulsory Redundancy is required subsequent to the total savings made and the upcoming activity forecast with a potential of 30 – 40 redundancies. Activity is difficult to forecast however after a steady January and February the figures fell in March and the current upcoming activity would suggest this is to continue. All areas of the business are under review with the look to identify where certain areas are quieter than others. Employee Reps will be advised of which areas are affected once a full forecast and activity review has been completed.”

A New 30 day consultation period has been initiated before the redundancies will be announced but an insider said they are most likely to affect offshore positions.

The company had looked to cut BUPA benefits to save costs but the meeting agenda confirms that BUPA gave them a £30,000 discount in the end and the benefit was retained.

Contractor rates are also currently under review.

Oil and Gas People has approached Atlus for a comment but had no response at the time of going to press.