Oslo-listed MultiClient Geophysical (MCG) said it has reduced employee compensation by close to 30% compared to 2015 as part of the company’s cost cutting measures in order to improve its position in a challenging market environment.

The cost saving exercise has been carried out through voluntary salary reductions and / or reduced working hours, the company said.

The estimated annual run rate of the cost savings is approximately USD 0.8 million relative to the 2015 level, of which most will be effective per 1 July 2016.

Furthermore, the board of directors and nomination committee fees are said to had been reduced by 20% compared to 2015. This reduction comes in addition to the savings in operating expenses reported as of Q1 2016.