The move is part of a package of measures by the kit manufacturer's executive board to "increase competitiveness".
Manroland's order intake in 2008 declined by around 20% compared with the previous year.
Its sheetfed business sector will cut 515 jobs in none-core areas, with 110 due to be lost from its web press department.
In addition, Manroland will close its Mainhausen factory, consolidating the product lines into its main sheetfed press factory in Offenbach.
Norman Revell, GB web sales director at Manroland, told PrintWeek: "I think the recent moves in Germany put the company as a whole in good shape.
"Last year was our company's worst year, and I think the industry's worst year, but companies that restructure now will be better equipped to weather the storm."
A spokesperson for Manroland added: "Manroland has been seriously affected by the reluctance of customers to invest due to the financial crisis and recession. However, Manroland still managed a positive operating result in the 2008 fiscal year.
"The company has already reacted in good time to the economic downturn, following the declining order intake since July 2008 in the sheetfed printing systems sector. It introduced short-time working on 1 October 2008 – for both production areas and administration – at the Offenbach and Mainhausen locations.
"Due to the ongoing decline in orders, short-time working has meanwhile been extended and will also start for the Augsburg web press operations in March 2009."
Manroland to shed 625 jobs following drop in orders
German press manufacturer Manroland has cut 625 jobs across its sheetfed and web press sectors, blaming customer reluctance to invest during the financial crisis.