Norwegian Cruise Line Holdings is working quickly to optimize expenses, including making significant cutbacks shoreside.

“While ship operating costs had remained relatively consistent over the past several years, we see a meaningful opportunity to reduce our shoreside costs,” said John Chidsey, chairperson and CEO, speaking on the company’s second quarter earnings call.

“As part of that effort, we are streamlining the shoreside organization and making targeted role and position adjustments to improve efficiency and better align resources. As a result, we expect our salary and benefits cost to decrease by approximately 15 percent on an annualized basis.”

Chidsey said actions like this are “never easy,” but would help improve productivity and strengthen execution across the business.

“As part of these efforts, we are also exploring additional opportunities to improve efficiency in our operating model and drive incremental savings over time. For example, we have started to pilot select offshoring initiatives across different areas of the company,” he added.