More than 50 jobs are at risk following a business review at Princess.
The British boatbuilder, which employs over 2,100 staff, said it was restructuring after what it described as a “challenging year”.
Chris Gates, the managing director, said: “The past year has presented some significant challenges to many companies. We have successfully weathered these and are in good shape for the future.”
Princess, which is owned by LVMH, the French luxury brand group, said that 55 jobs out of its 2,148-strong workforce could be affected at its Plymouth manufacturing facility. The boatbuilder, founded 50 years ago as Marine Projects (Plymouth), has five sites.
Mr Gates added: “Like all successful businesses, we have a responsibility to all our staff to remain both profitable and sustainable.
“The directors and I are working with our employees and employee representatives to ensure that the restructuring and redeployment process is conducted as speedily and constructively as possible.”