The main areas included feeder factories, development, fitout, outside crew, quality and other operational support, the letter said.

It added: “We need to continue to make the business stronger and more agile and these regrettable actions, together with the good work that is happening throughout the business, will underpin a more sustainable future.”

In a statement on Wednesday, Princess Yachts said it had made “significant progress” in improving operational efficiencies in challenging marketing conditions.

It said a strong order book meant it had weathered much of the market downturn – but that a review of business operations had “highlighted opportunities to further strengthen resilience”.

This would involve “streamlining” processes to “build a more flexible operation arounds its most experienced and skilled people”.