Early retirement is being considered for a further 40 staff the company said in a statment.
The company and the workforce representatives have come up with a proposal to establish a hardship fund, which would be administered by both sides.
A consultation process involving representatives of the workforce and RUAG was launched on 31 May 2012 and resulted in individual members of staff in some areas of the company being found alternative employment within the organisation.
“With the completion of the Leopard armoured vehicle preventive maintenance programme and delivery of the Kodiak engineer and mine-clearance vehicles, the Land Systems business unit, part of RUAG's Defence Division, is losing two major projects for the Swiss Armed Forces that have lasted several years,” read a statement by the company.
“Since projects of the same magnitude relevant to the core business of the Land Systems BU (preventive maintenance of heavy weapons systems, protective solutions for armoured vehicles, logistical solutions) appear not to be forthcoming within a reasonable period of time, a reduction in staff numbers for economic reasons and to safeguard the BU's continued existence is unavoidable”.