General – Restructuring
Renewable energy leader Ørsted has announced a major organizational restructuring that will see approximately 2,000 jobs cut by the end of 2027 as part of a broad effort to strengthen its competitiveness and align with its updated business strategy.
The decision comes as the company narrows its focus to offshore wind and European markets while completing a number of large construction projects in the coming years.
“From now until the end of 2027, we’ll be saying goodbye to many skilled and valued colleagues who’ve contributed greatly to Ørsted,” said CEO Rasmus Errboe. “However, this is a necessary step as we focus our business and complete our large construction portfolio, which will require fewer employees. At the same time, we want to build a more efficient and flexible organization — one that’s ready to compete for new offshore wind projects.”
Ørsted, which currently employs around 8,000 people worldwide, expects to reduce its workforce to about 6,000 by the end of 2027. The downsizing will be carried out through natural attrition, divestments, outsourcing, and redundancies.
In the short term, approximately 500 employees will be laid off in the fourth quarter of 2025, including about 235 in Denmark. The remainder of the reductions will take place gradually, in parallel with the completion of construction activities.
Errboe emphasized that the company remains committed to maintaining its global leadership in offshore wind energy.
“We must ensure that offshore wind remains a cornerstone of Europe’s future energy mix and green transition,” he said. “To achieve that, we need to reduce the costs of developing, building, and operating wind farms.”
Ørsted is currently constructing its largest-ever portfolio — 8.1 gigawatts of offshore wind capacity across three continents. As projects are completed, the company expects to become more financially robust, with stronger earnings and a clearer strategic focus.
The restructuring follows several initiatives announced in 2025 aimed at positioning Ørsted for long-term growth. The company recently completed a rights issue to strengthen its capital base and continues to progress on schedule with its global offshore projects.
Looking ahead, Ørsted will focus primarily on offshore wind in Europe and select Asia-Pacific markets, while maintaining efficient operations of its Danish combined heat and power plants.
Once all efficiency measures are in place, Ørsted expects annual cost savings of around DKK 2 billion from 2028 onward — savings already incorporated into its business plan.
