Swedish boat builder Hallberg-Rassy warns of possible job cuts.

Halberg Rassy 372 - European Yacht of the Year in the luxury category
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One of the world's most respected boat builders for cruising sailors and Sweden's largest sailing boat builder, Hallberg Rassy, has warned that further job cuts are likely in the future. Having made a similar warning to 25 workers only in May this year, the new cuts are sign that the economic malaise in Europe is cutting deep, even to the best of firms.

Only in 2010 Hallberg Rassy won European Yacht of the Year 2010 in the luxury cruiser category for its Hallberg-Rassy 372. The company is best known for its centre cockpit boats, but the majority of their boats produced are aft cockpit boats, and this was the largest ever built.

The company has now told another 42 employees that they may lose their jobs.

'It’s a very tough situation, but we have some hope for some new markets that we’ve been in contact with,' managing director Magnus Rassy told local newspaper Bohusläningen.

The timing of the announcement coincides with the onset of the European financial difficulties. Hallberg-Rassy’s order book had been full with previous orders until the summer of last year, but demand for new boats has since dropped dramatically.